Edgewater Growth Capital Partners III, L.P. (“Edgewater”) is pleased to announce the recent sale of its portfolio company Southern Petroleum Laboratories (“SPL” or the “Company”). Headquartered in Houston, TX, SPL is the leading independent provider of outsourced hydrocarbon measurement, analysis and reporting services for oil and gas production in many of the top producing regions of the United States. With a 70-year history of consistent operational excellence, the Company is a trusted provider of laboratory, field and production allocation services and is a recognized brand name that is synonymous with service, quality and integrity of data. SPL was acquired by Industrial Growth Partners which is a private equity firm that invests in manufacturing and industrial services companies.
Edgewater acquired SPL in August 2014 alongside its co-investors JZ Capital Partners and Hastings Equity Partners. During the investment period, Edgewater and the board recruited a new CEO and completed two strategic acquisitions that expanded the Company’s presence in the Permian Basin. SPL performed well over the investment period despite a downturn in the U.S. energy markets.