As expected, The Brickman Group, Ltd. and The ValleyCrest Companies have agreed to merge, forming the largest landscape services company in the United States. Here is the text of their joint press release.
ROCKVILLE, MD and CALABASAS, CA – May 21, 2014 – The Brickman Group. Ltd. LLC (“Brickman”) andValleyCrest Companies, LLC (“ValleyCrest”) announced today that they have entered into a definitive merger agreement, creating a world-class landscape and snow services company with a talented and engaged team delivering customized solutions for commercial clients throughout the U.S.
Today, Brickman and ValleyCrest are both leaders in landscape and snow services with highly complementary capabilities and geographic footprints. They will continue to serve trusted relationships in diversified client environments such as corporations, universities, hospitals, hotels & resorts, parks & public spaces and housing communities. These include some of the most respected companies and renowned institutions in the country.
“We are excited to bring together two family founded industry pioneers to continue shaping the industry while caring for client relationships that have been built over decades,” said Andrew Kerin, Chief Executive Officer of Brickman. “We share common values and have each achieved local, regional and nationwide success by putting our people and clients at the center of all that we do. Together we will be able to offer clients even more innovative and customized solutions while also providing our extremely talented teams greater opportunities for professional growth and development.”
Combined, Brickman and ValleyCrest will have more than 20,000 team members with the commitment and deep horticultural knowledge to design, build and maintain beautiful landscapes. With 140 years of industry experience, the combined organization will be extremely well positioned to meet client needs at the local level and across the U.S. The company will have a strong platform to serve clients throughout the lifecycle of their projects – from design to construction to maintenance – and across all seasons. Combined annual revenues are approximately $2 billion.
Roger Zino, Chief Executive Officer of ValleyCrest, said, “We have known and respected one another for many years, and have always shared a commitment to superior customer service, a relentless focus on employee safety and support of the environment and communities in which we live and work. This is an ideal match that will advance the landscape profession by bringing together a passionate community of the best trained and knowledgeable landscape professionals in the country.”
Following the transaction close, Kerin will be the Chief Executive Officer of the new company and Zino will become Vice Chairman. The company will continue to maintain its primary locations in Rockville, MD and Calabasas, CA. The merger, which is subject to customary closing conditions, is expected to close by mid-2014.
Brickman is currently owned by KKR, and ValleyCrest is currently owned by affiliates of MSD Capital, L.P. Following the close, KKR will have majority ownership of the combined company and MSD Capital will
retain a significant minority ownership interest.