Generational Capital Markets Advises Allied Underground in its Sale to Altos Partners

By Capital Markets

08/27/2021

Generational Capital Markets, Member FINRA/SIPC and a leading mergers and acquisitions advisor for privately held businesses, is pleased to announce the sale of its client, Allied Underground, Inc. to Altos Partners, LLC. The acquisition closed July 28, 2021.

Allied Underground (Allied), located in Bertram, Texas, tackles complex infrastructure projects for clients across Central Texas. Its team of managers, superintendents, and skilled laborers focus on underground water, wastewater, and storm sewer construction. Customers are balanced across commercial, educational, and multi-family contractors with greenfield, addition, and rehab projects. Allied is well known for its expertise in meeting the needs of complex, fast track projects, with long-term repeat and referral-based customers.

Leonard Meredith, the veteran entrepreneur behind Allied’s success, will continue at the helm of his dedicated and talented team.

Located in Atlanta, Georgia, Altos Partners (Altos) is a different kind of private equity firm with a unique approach and innovative way to conduct business: They consider their portfolio companies as true partners, not purely investments. They truly value and respect the people they work with and do not believe their involvement is done when the transaction closes. They stay engaged and empower the company leaders to un-tap the true potential of their businesses.

Altos’ primary focus is on entrepreneur-owned businesses, but remains flexible to explore other opportunities where they believe their knowledge and interests are aligned. They generally target industrial and commercial service businesses with under $75 million in revenue and always seek the best mutual fit as they concentrate on only a handful of new platform investments each year.

“I am excited to bring in a partner to support Allied’s continued growth trajectory. We’ve enjoyed serving our community for many years and will now better handle the growing needs and demands of our robust market with additional equipment, personnel, and other resources,” stated Mr. Meredith. “We remain committed to maintaining the Company’s reputation for quality service and customer responsiveness while we meet our customers’ expansion requests across the greater Austin metropolitan market.”

Stenning Schueppert, Managing Director of Altos noted, “We enjoy working with critically important and essential businesses that are the economy’s true backbone. With JL Filtration in the industrial filtration market, Westco in commercial landscaping, and now Allied, Altos continues to focus on lower middle-market industrial and business service companies. We’re blessed to partner with leaders like Leonard.”

Generational Capital Markets’ Senior Managing Director of Mergers & Acquisitions, Chris Heckert, with the support of Vice President Mergers & Acquisitions, Andre Farahmandi, successfully closed the deal. Senior Managing Director Rick Buchoz established the initial relationship with Allied.

“This is an exciting partnership for both Allied and Altos. Austin’s recent population explosion is leading to rapid infrastructure growth in the area, and Allied and Altos have an excellent opportunity to benefit from that growth,” said Heckert.

About Generational Capital, LLC

Generational Capital, LLC, is a Dallas, Texas-based merger and acquisition advisory firm. Generational Capital wholly owns Generational Capital Markets, Inc., Member FINRA/SIPC. More information can be found at https://www.gencm.com/.

Generational Capital and Generational Capital Markets are part of the Generational Group and are affiliated with Generational Equity, LLC, which The M&A Advisor named Investment Banking Firm of the Year in 2016, 2017, and 2018 and Valuation Firm of the Year in 2020.

GCM's most recent awards include The M&A Advisor's 2020 Information Technology Deal of the Year ($10MM-$25MM) and 2020 Private Equity Deal of the Year ($25MM-$50MM).