Coltala Holdings, a Texas-based company dedicated to buying and growing mission-critical service businesses, announced the establishment of Coltala Water Holdings through the purchase of Alsay, Inc., one of the biggest and oldest water well drilling and service businesses in Texas.
Alsay was established in 1960 and has its headquarters in Houston. For more than 40 years, the company has provided municipalities, utilities, and industrial clients throughout Texas with deep water well drilling, pump systems, and water infrastructure services. The company employs a supervisory team with more than 200 years of combined experience and runs one of the biggest fleets of drilling equipment in the state.
For Texas, this acquisition comes at a crucial time. The need for dependable, clean water is developing quickly due to one of the fastest-growing populations in the United States. Governor Greg Abbott has responded by giving long-term infrastructure improvements top priority in order to guarantee that businesses and people in Texas have access to sustainable water resources,a goal Coltala is honored to support.
Ralph Manning, co-founder and co-CEO of Coltala Holdings, stated, “This is precisely the type of business that Coltala was created to support legacy-rich, mission-critical, and positioned for smart growth.” “To help scale Alsay’s impact and provide Texas communities with long-lasting value, we’re bringing the Coltala Enterprise System.”
“We are honored to have Alsay join the Coltala family,” stated Edward Crawford, Coltala’s co-founder and co-CEO. Being a former Peace Corps participant and Navy veteran, I am aware of how vital water is to the resiliency of communities. This investment demonstrates our dedication to creating outstanding American businesses that uphold essential infrastructure and benefit people.
Gladstone Capital, represented by Eric Maloy of Dallas, provided mezzanine finance and an equity co-investment, while Bank United acted as the main lender. The transaction was backed by a group of senior financial partners. “We are delighted to collaborate with Coltala, whose focused operating and investment strategy, along with an experienced leadership group, puts the company in a unique position to seize major growth prospects in the face of the growing demand for sustainable water solutions,” Eric Maloy stated.
With the help of Lone Star Investment Advisors (LSIA), Alsay has more than doubled its size and profitability over the last five years, grown its backlog to over $100 million, and achieved a 25% compound annual growth rate. Arthur Hollingsworth, Managing Partner of LSIA, stated, “We are pleased to join Coltala Holdings for the next stage of expansion by means of our ongoing investment and service on the Alsay Board of Directors.” “We are happy to stay involved as Coltala guides the business into its next phase.”
“Joining Coltala marks an exciting new chapter for Alsay,” said Joe Slavik, President of Alsay. Their emphasis on purpose-driven growth and operational excellence is consistent with our values and positions us for long-term success.
Coltala Water Holdings carries on Coltala’s “mission and margin” approach, which entails acquiring and growing vital service companies while producing long-term value and high-quality jobs. Coltala Holdings is a real estate, healthcare, aerospace, and now water company that works in more than 20 states.
Source : WATE
