Capstone Partners advised HazTek—a leading safety consulting and worksite safety services firm—on its sale to Code Red Safety, a portfolio company of Warren Equity Partners.
Based in Medford, New Jersey, HazTek is one of the nation’s largest independent “pure-play” providers of safety management services for facility capital projects. In addition to consulting services and safety training, HazTek provides on-site safety personnel for large-scale capital projects and ongoing maintenance. The company serves some of the world’s largest brands in high-growth end-markets such as pharmaceutical, datacenter, and e-commerce. HazTek employs a staff of over 300 employees, including 275+ full-time field professionals with various specialized certifications and experience levels—including several Certified Industrial Hygienist (CIH) specialists. For more information visit haztekinc.com.
We chose Capstone due to their extensive track record of success and their experience in advising founder-owned businesses through the sales process. They took the time to fully understand our definition of a successful transaction and quickly presented numerous qualified buyers who met our criteria. They consistently acted in HazTek’s best interest, and we are very grateful to the Capstone team for being our advisory partner and helping us achieve the best possible outcome for us and our employees.
Chris Cardinale, Director at Capstone Partners, added, “HazTek’s management team, led by founders Steve Jones and Bruce Henderson, has grown the company into one of the nation’s leading providers of specialized safety management services and consulting. We are pleased to lead this transaction and facilitate the combination with Code Red Safety, another leader in the safety space that has experienced tremendous growth. This marks another successful transaction in the safety industry for Capstone’s Industrials team and we are excited to see what HazTek and Code Red will bring to its customers and the market.”
Founded in the Midwest in 1995, Code Red Safety is a provider of integrated safety solutions designed to enhance worker safety and ensure compliance with government regulations. The company provides highly trained professionals and mission-critical services to keep workers safe and projects on schedule. Code Red operates through eight branches across the United States that provide a range of safety services including turnaround solutions, equipment rentals, standby and emergency rescue teams, safety staffing, training, auditing, and in-plant communications solutions. For more information visit coderedsafety.com.
Nick Mowbray, CEO of Code Red Safety, said, “the addition of HazTek strengthens the talent in our business, adds new geographies, bolsters our safety management lines of business, and further cements Code Red Safety as a premiere safety provider across North America.”
Warren Equity Partners is a private equity firm that invests in lower middle market companies primarily in North America. The firm was founded in 2015 and is headquartered in Jacksonville Beach, Florida. Warren Equity focuses on six sectors: Transportation, Power & Utilities, Buildings & Facilities, Digital Infrastructure, Water & Wastewater, and Waste. The firm has a functional approach to private equity where investors and operators collaborate to build businesses with a strong emphasis on operational value creation, and boasts $3.4 billion total capital raised, 7,000+ employees at portfolio companies, 27 total platform investments, and 110 total transactions completed.
The expert investment banking professionals on Capstone Partners’ Industrials Team work with leading middle market companies operating in the Safety market to advise with their strategic decision-making in order to maximize financial outcomes at every stage of the business lifecycle. Our firm has developed a full suite of corporate finance solutions, including M&A advisory, debt advisory, financial advisory, and equity capital financing to help privately owned businesses and private equity firms address any need, ranging from growth and financial or operational advisement to an ultimate exit transaction. To learn more about this transaction, or about the benefits of starting a relationship with our Industrials Banking Team, contact us here.