Summary

Our latest Insights | Testing, Inspection, & Certification Segment

Based on three recent client engagements, Harris Williams professionals Brian Lucas, Luke Semple, and Ian Thomas discuss what is attracting investors to the testing, inspection, and certification space.

Read the full article.

Industry | Select Recent M&A Activity

M&A: Power Team Services, a leading provider of maintenance and construction services to the U.S. utility industries, is being acquired by Clayton, Dubilier & Rice. HW served as the exclusive financial advisor to Power Team Services.

Source

M&A: Oildex, a provider of financial supply chain automation for the oil and gas industry, has been acquired by Drillinginfo, a portfolio company of Genstar Capital.

Source

M&A: STS Consulting, a provider of inspection and project management services, has been acquired by Applied Cleveland Holdings, a portfolio company of First Reserve Corporation.

Source

M&A: The Bayou Companies, a provider of pipe coating and insulation for new construction in the on-shore and off-shore oil and gas sector, has been acquired by Altamont Capital Partners.

Source

Public Markets | Key Trading Statistics1

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What We’re Reading

Oil & Gas | Machine Learning to Transform Oil & Gas Industry

“Machine learning is a key component to our digital transformation at Anadarko. Machine learning (ML) techniques enable the exploration and development success in the deepwater Gulf of Mexico through the use of deep learning networks to detect features such as faults, salt and stratigraphic geometries, giving seismic interpreters a sophisticated ML-based workflow to both accelerate their interpretation and more importantly provide a robust feature detection tool with a more exhaustive approach than manual efforts can provide in isolation.”

RigZone

Utilities | Utilities Embrace Growing Applications of Demand Response: SEPA Snapshot

“While the utility sector has moved past DR as primarily a way to keep the lights on (though it can do that), this is not the end of the evolution. The DR market has essentially learned to walk, musing that the market is not crawling anymore, but still not quite running. That change is coming soon. Energy Hub estimates 40 million customer-owned behind-the-meter (BTM) distributed energy resources (DERs) will be coming online in the next five years: a mix of batteries, thermostats, smart solar inverters, grid-tied water heaters and electric vehicles."

Utility Dive

Infrastructure | Why the Future of American Infrastructure is Private

“Nothing beats top down planning and funding for these kinds of national issues, but in the absence of focused government attention, the private sector will increasingly identify business opportunities. These are not likely to be full-blown “PPP” transactions that require major government involvement but, rather, private sector investments into assets that are associated with revenue generation such as power transmission and storage, rail transportation and port facilities as well as “smart city” urban investments in ride share, distributed power generation and continued improvements in telecom.”

Forbes

Oil & GAs | Chevron Launching Predictive Maintenance to Oil Fields, Refineries

“Chevron Corp. has launched an effort to predict maintenance problems in its oil fields and refineries, a capability that many companies have been working for years to cultivate and is just now gathering momentum. Advances in the functionality and economics of sensors, data analytics and cloud computing are behind the rise of so-called predictive analytics, which Chevron executives say could lead to savings of millions of dollars annually. Working with Internet of Things services from Microsoft Corp., Chevron aims to enable thousands of pieces of equipment with sensors by 2024 to predict exactly when equipment will need to be serviced.”

WSJ

Power | DNV GL Predicts ‘Massive’ Grid Expansion and Automation​

“DNV GL expects global grid capacity to triple by 2050 as electricity network operators fight to cope with a surge in electric vehicles and renewables. The quality assurance and risk management giant said the electrification of energy demand would double by 2050 as transportation, buildings and manufacturing all increasingly go electric. Installation rates for distribution system transformers will double. By 2027, half of all new car sales in Europe are expected to be electric vehicles, DNV GL said. The company’s latest Energy Transition Outlook also predicted 80 percent of global electricity production will come from renewables by 2050. A growing fraction of wind and solar power on the grid will force many countries to redesign the way electricity markets work, bringing in market-based pricing signals to encourage greater flexibility.”

Green Tech Media

M&A Transactions

Recent M&A Transactions1,2

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Public Markets Overview

Energy Equipment and Services1

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Power Equipment and Services1

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Infrastructure Services1

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Industry Statistics

Commodity Prices1

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Trailing 12 Months

(Indexed to 100%)

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Rig Counts3

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Construction Spend4

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Construction Indicators5,6

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ABI:  Derived from the AIA’s monthly Work-on-the-Boards survey, an index score above 50 denotes increased billing from prior month, and vice versa.

DMI: 12-month indicator of future construction spending and demand for construction products / services.

Our Group

Harris Williams is a leading advisor to the energy, power, and infrastructure M&A market.  Our Energy, Power & Infrastructure Group has experience across a broad range of sectors, including services, products, and technologies that support or enhance energy and power infrastructure.

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  • Oil & Gas Equipment and Services
  • Coal Products and Services

 

Power

  • Power Products and Technologyscreen_shot_2018-10-09_at_3.54.25_pm.png
  • Electric and Natural Gas Transmission and Distribution
  • Energy Efficiency and Clean Technology
  • Renewable Energy Services and Equipment

 

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  • Industrial and Infrastructure Services
  • Engineering and Construction
  • Environmental Services

Public Comparables1

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1. FactSet

2. MergerMarket

3. Baker Hughes

4. U.S. Department of Commerce

5. American Institute of Architects

6. Dodge Data & Analytics

 

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