Case Study: Clements Environmental

Background

• Clements Environmental Corporation is an environmental engineering and consulting firm located in Los Angeles, California.
• The Company specializes in solid waste engineering and management, environmental regulatory compliance, and environmental permitting for private industry as well as city and county municipalities.
• Owner was approaching retirement age and sought to engage a firm with the expertise to help him seamlessly transition into retirement, protect the Company’s long-term client relationships, employees, and his legacy.

Goals & Strategy

• Kinected crafted a marketing strategy to target strategic and financial buyers with existing portfolio companies in the environmental services space.
• The success of the transaction would rely on a Seller’s willingness to help transfer key relationships to the Buyer and help the Buyer recruit an operational leader.

Results

• The Seller’s objectives were achieved as the owner was able to help the Buyer transition client relationships, recruit a General Manager, and seamlessly move into retirement on his terms.
• Kinected facilitated the entire transaction, beginning with an Opinion of Value, executing a marketing process that resulted in closing a transaction with the optimal buyer, Kairos Companies.

Deal at a Glance

• Seller: Clements Environmental Corporation, an environmental engineering and consulting firm in Los Angeles, California
• Buyer: Kairos Companies
• Closed: 2019
• Kinected’s role: Opinion of Value, a targeted marketing process to strategic and financial buyers, and support through closing

For more on how we run a sale, see How Great Exits Happen and What Is Exit Planning and Why Is It Important?

Kevin Berson

Founder & Managing Partner · Kinected Advisors

Kevin leads sell-side M&A engagements for businesses with $10M–$100M in revenue. He has advised on ~$1B in transactions and can be reached at kevin@kinected.com.