Englobe is a leading applied sciences services company with operations in Canada, France and the UK.
Investment
C$60 million
Fund
ONCAP II
Period
March 2006 – Present
ONCAP Team
Transaction Summary
ONCAP created Englobe Corp. (“Englobe”) as a platform to execute on its investment thesis pertaining to environmental and engineering services consisting of a number of acquisitions including EMS, Biogénie, Celtic Technologies, LVM, Crandall Engineering, MLE, DST, Arrow, Terraprobe and Protostatix.
Business Description
Headquartered in Quebec City, Englobe is a leading provider of specialty environmental and engineering services to public and private sector clients in Canada, France and the U.K. The company’s operations consist of three service lines: engineering and inspection services such as geotechnical and structural engineering, material testing and inspection, and other specialty engineering; environmental consulting and remediation; and materials management and beneficial reuse.
Investment Thesis
The thesis underpinning Englobe is based on the increasing demand for environmental services stemming from society’s increasing environmental sensitivity as well as the growing need to maintain and upgrade public infrastructure. Englobe is an integrated platform of highly complementary services focused on the environmental and infrastructure markets with several attractive investment attributes, including: (i) difficult to replicate network of strategic assets & technical capabilities; (ii) multi-national platform of scale in a highly fragmented industry; (iii) stable and diverse business model underpinned by a blue-chip client base; (iv) attractive free cash flow characteristics; (v) a strong management team; and (vi) opportunities for both organic and acquisition driven growth within a highly fragmented market.
