VLS Environmental Services changes hands

Los Angeles-based Aurora Capital Partners says it has finalized the sale of Houston-based VLS Environmental Solutions to I Squared Capital, which Aurora describes as a global infrastructure investment manager. Financial terms of the transaction were not disclosed. Aurora purchased VLS in 2017.

VLS provides waste, recycling and cleaning-related services involving nonhazardous industrial and commercial waste, including a Railcar Cleaning division and marine specialty cleaning and repair.

“It has been exciting to work alongside the VLS team and help transform the company from a Southeast-focused provider to a leading ESG- [environmental, social and governance-] focused environmental solutions platform with nationwide scale and a broad-based environmental services offering,” says Matthew Laycock, a partner at Aurora. “VLS has grown tremendously since our partnership in 2017, including the completion of nine acquisitions to support our buy and build strategy, and there is significant runway to continue this strong performance across its business lines. We wish the company, its management and its new partners continued success.”

John Magee, president and CEO of VLS, says, “Aurora has been an incredible partner to the leadership team at VLS, providing guidance and expertise to support the company in achieving our growth objectives. We are thrilled to partner with the I Squared team and believe they are the right next owner to help drive the continued expansion of our market-leading environmental services platform.”

Andrew Wilson, another partner at Aurora, comments, “The entire VLS organization, led by John Magee, has done an excellent job leading the business through this phase of growth, and we appreciate their efforts throughout our partnership. Given its unique service offering and strong customer value proposition, VLS is well-positioned to continue its growth within the broader environmental services industry.”

Houlihan Lokey served as lead financial advisor, Robert W. Baird served as co-financial advisor and Gibson, Dunn & Crutcher LLP served as legal advisor to Aurora Capital Partners. Jefferies LLC served as exclusive financial advisor and Kirkland & Ellis LLP served as legal advisor to Miami-based I Squared Capital.