Deepwater sells minority interest
Capital Southwest completed an $8 million preferred equity investment in Deepwater Corrosion Services, Inc. on April 9, 2013. Deepwater is the fourth active investment in their Energy Services and Products sector.
Founded in 1986, Deepwater is a full-service offshore corrosion-control company providing the oil, gas and wind industry with expertise in cathodic protection and asset-integrity management. Deepwater also manufactures the highly-effective I-Rod product line that prevents corrosion problems at pipe supports, and a complete line of Polatrak corrosion-testing probes that are recognized as the industry standard for accuracy and dependability.
Since Capital Southwest’s formation in 1961, they’ve sought to invest in companies with strong management teams and sound financial performance. Although they’re a public company, Capital Southwest has the flexibility to hold investments indefinitely. They believe this patient investment strategy enables companies in their portfolio to achieve their full potentials. As of December 31, 2012, they have $628.2 million in net assets under management and are actively pursuing new investments.
WoodRock & Co. acted as the financial advisor to Deepwater Corrosion for these financing transactions.