Tri-State Utilities is sold

Published March 1, 2019 by Robert Powell, III

A Chesapeake-based company has been sold to Hoffman Southwest Corp., a construction company based in Mission Viejo, Calif.

The sale was reported by Matrix Capital Markets Group Inc., a Richmond-based investment bank that served as Tri-State’s exclusive financial adviser.

Financial details of the transaction were not disclosed.

Founded in 1990 by Steve McSweeney, Tri-State is a regional provider of trenchless repair, rehabilitation, inspection and other maintenance services to the municipal utility market.

McSweeney passed leadership of the company to his sons, Andy and Joe McSweeney, in 2007.

Hoffman Southwest Corp., a portfolio company of Dallas-based ORIX Capital Partners LLC, provides underground pipe inspection, trenchless pipe repair, excavation and cleaning services for municipal and utility customers.

The transaction was led by David Shoulders, Matrix’s managing director who also is head of its Consumer & Industrial Products Group, and William O’Flaherty, a vice president at the firm. Robbie Nickle, a Matrix associate, and John Mosser, an analyst, also advised on the transaction.

Troutman Sanders served as legal counsel for Tri-State.