Key Takeaways
- • Arsenal Capital Partners led a recapitalization of EspriGas, a technology-enabled packaged gas fulfillment platform, in partnership with management and existing investor Kaltroco Limited, according to a Business Wire announcement.
- • EspriGas connects packaged gas suppliers to more than 35,000 customer locations across industrial, medical, beverage, and propane markets in North America, with revenue growth reported in every year of its two-decade-plus history.
- • Founder and CEO Mike Walsh will continue to lead EspriGas and remain an investor following the closing; the transaction financial terms were not disclosed in the announcement.
- • Arsenal, which has raised more than $10 billion in institutional equity since 2000, positions the deal as a platform for expansion into new products and geographies.
Summary
Arsenal Capital Partners, a private equity firm focused on industrial growth and healthcare companies, announced that it has led a recapitalization of EspriGas, providing capital to support the company's next phase of growth. The announcement was distributed via Business Wire from New York, Nashville, and Atlanta. Financial terms of the recapitalization were not disclosed.
EspriGas describes itself as a digital disruptor and the leading technology-enabled platform for packaged gas fulfillment in North America. Its proprietary network uses data, telemetry, and software to connect packaged gas suppliers with more than 35,000 customer locations, serving both small single-site customers and large multi-site national accounts. According to the company, the model offers customers improved service, administrative relief, and cost savings, while giving suppliers better access to end customers. The company states that it has delivered revenue growth in every year of its more than two-decade history. EspriGas was founded in 1998 and is headquartered in Atlanta, Georgia.
Mike Walsh, Founder and CEO of EspriGas, said the company's mission has been to address structural pain points in the industrial gases value chain for more than 25 years. He said the partnership with Arsenal would support expansion into new products and geographies, further technology development, and continued network build-out. Walsh will remain CEO and will continue as an investor. Kenneth Hammond, Chief Investment Officer at Kaltroco Limited, an existing EspriGas investor, cited recent expansion into beverage and propane end markets and continued investment in proprietary technology, and said Kaltroco will remain an investor alongside Arsenal. George Abd, an Operating Partner at Arsenal, described EspriGas as a network business that grows more valuable to customers and suppliers as it scales.
Advisers were disclosed in the announcement: Robert W. Baird & Co. was exclusive financial advisor to EspriGas, with Holland & Knight LLP as legal counsel. Houlihan Lokey Capital, Inc. advised Arsenal, with Kirkland & Ellis LLP as legal counsel.
EspriGas describes itself as a digital disruptor and the leading technology-enabled platform for packaged gas fulfillment in North America. Its proprietary network uses data, telemetry, and software to connect packaged gas suppliers with more than 35,000 customer locations, serving both small single-site customers and large multi-site national accounts. According to the company, the model offers customers improved service, administrative relief, and cost savings, while giving suppliers better access to end customers. The company states that it has delivered revenue growth in every year of its more than two-decade history. EspriGas was founded in 1998 and is headquartered in Atlanta, Georgia.
Mike Walsh, Founder and CEO of EspriGas, said the company's mission has been to address structural pain points in the industrial gases value chain for more than 25 years. He said the partnership with Arsenal would support expansion into new products and geographies, further technology development, and continued network build-out. Walsh will remain CEO and will continue as an investor. Kenneth Hammond, Chief Investment Officer at Kaltroco Limited, an existing EspriGas investor, cited recent expansion into beverage and propane end markets and continued investment in proprietary technology, and said Kaltroco will remain an investor alongside Arsenal. George Abd, an Operating Partner at Arsenal, described EspriGas as a network business that grows more valuable to customers and suppliers as it scales.
Advisers were disclosed in the announcement: Robert W. Baird & Co. was exclusive financial advisor to EspriGas, with Holland & Knight LLP as legal counsel. Houlihan Lokey Capital, Inc. advised Arsenal, with Kirkland & Ellis LLP as legal counsel.
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