NRC Group Completes Acquisition of Organic Incineration Technology, Inc.
HOUSTON--(BUSINESS WIRE)--May 7, 2019--NRC Group Holdings Corp. (NYSE American: NRCG) (“NRCG” or the “Company”), a global provider of a wide range of environmental, compliance and waste management services, today announced that on April 26, 2019, it completed the previously announced acquisition of the assets and business of Organic Incineration Technology, Inc. (“OIT”). Based in North Pole, Alaska, OIT provides thermal treatment options for the safe disposal of materials such as non-hazardous petroleum contaminated soils, absorbent pads and sludges, and the treatment of Per- and Polyfluoroalkyl substances.
Founded in 1990, owner Mark Sanford has built OIT into a trusted service provider in the Fairbanks area. The OIT facility in Moose Creek, Alaska, has full containment capabilities with the ability to fully process all waste product on-site. In addition to waste treatment and disposal services, OIT offers transportation and other specialized environmental services.
NRCG’s Alaskan operations (“NRCG Alaska”) focus on recycling and environmental services. The acquisition of the business and assets of OIT adds to NRCG Alaska’s waste treatment and disposal capabilities across the state. They offer a broad range of waste management services ranging from recycling glycol products by fractional distillation, used oil and petroleum by-products recycling/energy recovery, emergency spill response and clean-ups, and the transportation and disposal of both non-hazardous and hazardous waste for industrial, marine, automotive and government clients.
The acquisition reflects OIT’s continued dedication to provide the highest quality thermal treatment services and demonstrates NRCG’s expanding capability and ability to offer global resources and expertise to the Alaskan market. The addition of OIT’s business significantly increases NRCG Alaska’s statewide footprint and expands its full line of compliance-based waste treatment and environmental related services.
Blake Hillis, senior vice president of NRCG Alaska, stated, “This acquisition enhances our capabilities to provide our core suite of services to both our public and private sector clients, providing them with greater service coverage across their entire business. As a result, NRCG Alaska now provides a broader suite of treatment, recycling, and disposal services than any other company in our market segments.”
Mark Sanford, OIT’s manager of thermal remediation services, commented, “We are excited to join NRCG, which will allow us to grow our service offerings in the treatment and remediation of contaminated soil. We will continue to provide our long-term established clients with cost‐effective solutions for their soil treatment needs while contributing to, and benefiting from, NRCG’s strong national presence.”
The asset purchase consisted of an initial cash payment of $6.0 million and includes an additional $2.0 million deferred consideration payable in cash, common stock of the Company, or a combination of the two, and up to an additional $5.0 million in earn-out payments over the next three years based on certain financial milestones.
NRCG is a global provider of a wide range of environmental, compliance and waste management services. NRCG’s broad range of capabilities and global reach enable it to meet the critical, and often non-discretionary, needs of more than 5,000 customers across diverse end markets to ensure compliance with environmental, health and safety laws and regulations around the world. NRC Group, a wholly owned subsidiary of NRCG, was established in June 2018 through the combination of two businesses, National Response Corporation and Sprint Energy Services, both previously operating separately under the ownership of investment affiliates of J.F. Lehman & Company. For more information, please visit www.nrcg.com. No portion of the website referenced in this paragraph is incorporated by reference into or otherwise deemed to be a part of this news release.
View source version on businesswire.com:https://www.businesswire.com/news/home/20190507005907/en/
CONTACT: Media Contact:
NRC Group Holdings Corp.
Gateway Investor Relations
Cody Slach or Jared Filippone, CFA
KEYWORD: UNITED STATES NORTH AMERICA TEXAS
INDUSTRY KEYWORD: ENERGY UTILITIES OTHER ENERGY PROFESSIONAL SERVICES FINANCE ENVIRONMENT OTHER PROFESSIONAL SERVICES
SOURCE: NRC Group Holdings Corp.
Copyright Business Wire 2019.
PUB: 05/07/2019 04:05 PM/DISC: 05/07/2019 04:05 PM