M&A trends among landscapers in 2017

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With increased interest from both landscape companies and private equity firms, the M&A market is hot in the green industry. Valuation is high, the economy is strong and capital is available, making it a prime time both to buy and to sell.

In the last 12 months, we’ve seen some big moves:

• Aspen Grove Landscape Group (No. 6) acquired James River Grounds Management (No. 74) as well as Integrated Landscape Management, which was No. 99 on the 2017 Top 100 List.

• BrightView acquired Girard Environmental Services in September, bringing together the No. 1-ranked Top 100 company and the 39th.

• Also in the California market, Gothic Landscape (No. 5) acquired Terra Pacific.

• Yellowstone Landscape (No. 8) acquired Heads Up Landscape, a $19-million company based in New Mexico, as well as North Carolina-based Ecoscape in 2017.

• In the Northeast, TruGreen (No. 2) acquired Lawn Dawg and its 10 locations in September. The company also acquired Turfmasters.

• SavATree (No. 15) acquired Swingle Lawn, Tree & Landscape Care (No. 99).

• Monarch Landscape Companies acquired $62-million Terracare Associates (No. 21). Earlier in 2017, the company, led by former ValleyCrest executive Brian Helgoe and backed by private equity firm One Rock Capital Partners, also acquired Hort Tech Landscape and Land Systems, both in California. Monarch/One Rock Capital did not report a combined revenue for all acquired companies for The Top 100 List.

• Rotolo Consultants (No. 30) acquired Greenscape Grounds Management and Massengale Grounds Management.

Private equity makes a move.

Private equity has been showing up in a big way in recent years, due in part to the large amount of institutional capital that has been raised but not yet invested. That, combined with larger private equity firms like KKR entering the industry successfully, has led to a strong interest in the landscape market.

Read the full story from the May issue here.