GREENWICH, Connecticut and HOUSTON and LONDON, Dec. 2, 2014 /PRNewswire/ -- First Reserve, the largest global private equity firm exclusively focused on energy, today announced that First Reserve Fund XIII had entered into an agreement to partner with Hoover Container Solutions ("Hoover"). Hoover is a leading provider of chemical tanks, cargo carrying units and related products and services to the global energy, petrochemical and related industrial end markets. Financial terms of the transaction were not disclosed.
One of the global industry leaders in oilfield fluids container solutions, Hoover operates worldwide through fifteen facilities in North and South America, Europe, Australia, the Middle East and Southeast Asia. The company has a rental fleet of approximately 40,000 stainless steel intermediate bulk containers ("IBCs"), 8,000 cargo carrying units and more than 15,000 slings, GPS asset tracking units and other peripheral equipment. Hoover was the original manufacturer of stainless steel IBCs approximately 50 years ago and has a history of pioneering and innovating material handling solutions since 1911. Hoover has earned a reputation with its loyal customers for being a high-quality service provider.
Hoover provides customer-driven solutions through a vertically integrated model that includes design, manufacturing, maintenance, certification and cleaning services through the entire life cycle of their products. The company's products are critical to the energy value chain with a business model that is, in First Reserve's view, generally resilient to market cyclicality. The Firm believes Hoover's products are exposed to several favorable macro trends, including the continued demand for oilfield production chemicals, further development of offshore and deepwater oil and gas opportunities as well as the continued investment in North American petrochemical facilities.
Donald Young, CEO of Hoover, commented, "After a thoughtful process, we chose First Reserve as our partner to help support Hoover in its next stage of growth. We expect First Reserve will bolster Hoover's already strong financial position and allow us to accelerate our growth plan as well as continue to introduce innovative products and services to the market."
Neil Wizel, Managing Director of First Reserve, commented, "We are excited to partner with CEO Donnie Young and his management team to progress Hoover's growth strategy focused on providing the energy, petrochemical and general industrial markets with specialized fluid handling and container solutions. We believe Hoover has demonstrated a strong track record of providing its customers with high quality products and services and that the company is well-positioned for continued expansion in North America and internationally."
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About First Reserve
First Reserve is the largest global private equity investment firm exclusively focused on energy. With over 30 years of industry insight, investment expertise and operational excellence, the Firm has cultivated an enduring network of global relationships and raised more than USD $30 billion of aggregate capital since inception. Putting these to work, First Reserve has completed more than 475 transactions (including platform investments and add-on acquisitions) on six continents. Its portfolio companies span the energy spectrum from upstream oil and gas to midstream and downstream, including resources, equipment and services and infrastructure. First Reserve has offices in Greenwich, CT; Houston, TX; London, U.K. and Hong Kong. Visit us at www.firstreserve.com for more information.
Hoover Container Solutions, Inc. rents, sells and services intermediate bulk containers (IBCs), transport frames, offshore containers, intermodal (ISO) tank containers and related equipment for the storage and transportation of chemicals, liquids and fluids including the industry leading Liquitote® IBC. Hoover's products meet the highest quality standards (DNV, UN, IMO and others) in the industry and can be fully customized according to client specifications. In addition to its corporate headquarters in Houston, TX, Hoover has manufacturing, sales, service and distribution facilities in Scott, LA, New Iberia, LA, Houma, LA, Port Fourchon, LA, Midland, TX, Chicago, IL, Stavanger, Norway, Aberdeen, Scotland, Warsaw, Poland, Macae, Brazil, Melbourne and Perth, Australia, Kuala Lumpur, Malaysia and Abu Dhabi, U.A.E. Visit us at www.HooverSolutions.com for more information.
SOURCE First Reserve