Richmond, VA – February 25, 2019 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading independent investment bank, announced the sale of Chesapeake, VA-based Tri-State Utilities Company (“Tri-State”) to Hoffman Southwest Corp. (“HSW”), a portfolio company of ORIX Capital Partners LLC.
Founded in 1990 by Steve McSweeney, Tri-State has established itself as a premier provider of trenchless repair, rehabilitation, inspection, and maintenance services for the municipal utility market. After nearly two decades, leadership transitioned to Steve’s sons, Andy and Joe McSweeney, in 2007, marking a period of rapid growth as the brothers expanded fleet and personnel to make Tri-State a market leader across the Mid-Atlantic and Southeast. Known for its safety credentials, technical expertise, and long-term sewer and stormwater contracts, Tri-State serves a notable list of blue-chip clients.
Commenting on the transaction, President Andy McSweeney said, “Partnering with HSW allows us to expand our services for our valued customers. Joe and I were committed to finding a group that shares our vision and values, and we are confident HSW and ORIX are the right partners.” CEO Joe McSweeney added, “As shareholders in the combined entity, we’re excited to build on our father’s legacy and continue delivering the exceptional service our customers expect.”
Matrix served as the exclusive financial advisor to Tri-State, providing valuation advisory, business marketing, and transaction negotiation services. The transaction was led by David Shoulders, Managing Director and Head of Matrix’s Consumer & Industrial Products Group, with Vice President William O’Flaherty, Associate Robbie Nickle, and Analyst John Mosser. Andy McSweeney praised Matrix’s support, saying, “Matrix provided unwavering guidance through what could have been an exhausting process. Their professionalism made this transaction possible.”
David Shoulders commented, “The McSweeney family has built a remarkable business addressing critical infrastructure needs. We are honored to have connected them with a partner dedicated to supporting Tri-State’s future growth.”
Legal counsel for Tri-State was provided by Troutman Sanders.
