Keystone Capital Management, a Chicago-based private investment firm, has partnered with two leading environmental consulting services providers, PM Environmental Inc. in Lansing and Pinchin Ltd. in Ontario.
PM and Pinchin, which have been collectively operating for 70-plus years, provide environmental risk management, engineering, and health and safety consulting services to corporate real estate owners, developers, end users, and government agencies in the United States and Canada.
PM is a regional market leader serving clients out of 12 offices in Michigan and the southeastern U.S., while Pinchin operates out of 34 offices nationally across Canada. As a result of the partnership, PM can now serve Canada with 34 locations coast to coast, and benefit from access to 1,000 employees among 46 office location in North America.
“With this partnership, we see a significant opportunity to better serve our clients through greater geographic reach and a broader set of capabilities,” says Mike Kulka, co-founder and CEO of PM, and a member of the Association for Corporate Growth (ACG) Detroit Chapter.
In January, PM and Keystone announced an investment partnership. The partnership between PM and Keystone is aligned with a broader strategy to drive consolidation and further organic growth within the North American environmental risk management market.
PM was incorporated in 1992 and is a full-service environmental consulting firm that is ranked No. 1 in Michigan, while nationally it has ranked in the top 20 environmental consulting and engineering services company by EDR ScoreKeeper over the last five years.
Services include environmental site assessments, brownfield redevelopment, environmental compliance audits, industrial hygiene services, underground storage tank management, and more.
“This is an exciting first step in our goal of building the predominant North American services provider in the building and land market for all phases of the real estate lifecycle,” says Jeff Grossi, CEO of Pinchin. “We are fortunate to have found likeminded partners in both PM and Keystone”.
All members of the Pinchin and PM executive teams will remain in leadership positions of the combined company. Joining forces will provide both Pinchin and PM’s clients with broader geographic coverage and enhanced capabilities across the real estate lifecycle.
“We are thrilled to be partnering with the teams at Pinchin and PM,” says David Greer, managing director of Keystone Capital. “Keystone has significant experience in the engineering and technical services space, and we believe there is a considerable opportunity to continue building on the great legacies that both of these firms have established.”
Keystone is actively seeking acquisition opportunities in the environmental consulting and engineering services industry.
Terms of the transactions were not disclosed. Senior debt financing was arranged by CIBC Bank USA and legal counsel was provided by Honigman in Detroit and Goodmans.
Formed in 1994, Keystone’s mission is to invest in and build a portfolio of high quality, mid-sized businesses that are leaders in their markets. Keystone is differentiated by its investment of personal capital and investment horizon flexibility, as well as establishing long-term operating partnerships with the professional management teams of its portfolio companies.