2020 Environmental Group ("2020") is pleased to announce that WestLand Engineering and Environmental Services, Inc. ("WestLand"), an engineering and environmental services firm headquartered in Tucson, AZ has merged with EM Strategies, Inc. an environmental services firm located in Reno, NV. 2020 initiated the transaction and served as the M&A Advisors to WestLand.

2020 Environmental Group ("2020") is pleased to announce that PES Environmental, Inc. ("PES"), an environmental and engineering consulting firm headquartered in Novato, CA, with offices in Seattle, WA and Veneta, OR, has been acquired by NV5. 2020 initiated the transaction and served as the M&A Advisors to PES.

2020 Environmental Group ("2020") is pleased to announce that SWCA, a nationwide environmental consulting firm headquartered in Phoenix, AZ, has acquired Sycamore Environmental Consultants ("Sycamore"). 2020 served as the M&A buy-side advisors to SWCA and initiated the transaction with Sycamore.

2020 Environmental Group ("2020") is pleased to announce that Earth Consulting Group ("EarthCon"), a 90-employee US-based environmental and engineering consulting firm headquartered in Atlanta GA, with offices in Texas and California, has been acquired by WSP. 2020 initiated the transaction and served as the M&A Advisors to Earthcon.

2020 is pleased to announce that Environmental Planning Group ("EPG"), an environmental planning, permitting and design consulting firm based in Phoenix, AZ, has been acquired by Terracon. 2020 initiated the transaction and served as the M&A advisors to EPG. 

2020 Environmental Group is pleased to announce that Flight Evolved, a digital transformation leader with specialized expertise in geospatial data analytics using drones, has been acquired by Copley Equity Partners in a simultaneous merger with Aethon Aerial Solutions. 2020 served as the M&A advisors to Flight Evolved on its recapitalization and sale process to Copley, and advised FE on the co-merger agreement with Aethon.

Considerations for M&A Strategies and Valuations

The global COVID-19 pandemic has disrupted the business of environmental and engineering consulting, and is causing buyers and sellers to reassess M&A timing and strategies.  However, it could also prove to be an unexpected catalyst of M&A activity, further driving industry consolidation, buyers looking for deals, and sellers deciding now is the time to get their equity off the table.

We took a closer look at M&A under these uncertain times, and found some interesting insights, including COVID as a force majeure event for valuations and other M&A considerations.

State and Federal Agencies, and Private Sector Clients Instruct Environmental Firms to Continue with Projects as Scheduled

In reviewing the rapidly changing climate amid the COVID-19 pandemic, 2020 Environmental Group is hearing from our industry contacts across the U.S. that public agencies as well as certain private sector clients that support Critical Infrastructure, Energy, and Environmental Protection are considered “essential businesses” and that work must continue.  And by extension, the environmental consultants who support these critical projects are also deemed essential and their project work must continue.

2020 is pleased to announce that Environmental Partners Inc ("EPI"), an environmental geosciences consulting firm based in Issaquah WA (suburb of Seattle), has been acquired by TRC Companies ("TRC"). 2020 initiated the transaction and served as the M&A advisors to EPI. 

This acquisition is part of TRC’s strategy to bolster its capabilities in geo-environmental services and growth strategy in the Pacific Northwest region and position TRC as the top player in environmental engineering and remediation in the Greater Seattle market.

Leadership Pipeline = Deal Success

One of the top M&A themes we are seeing today -- buyers asking sellers “can you please tell us more about your management succession plan and second tier leadership team?” The reason is quite simple.  While buyers are investing in a company’s long-standing reputation, client relationships, expert services and financial performance, it is the people that represent the future of the company.  And knowing the depth, level of development and management responsibility of a seller’s 2nd and even 3rd tier team is an important component to getting a deal done, and what can drive up valuations, or cause deals to fall apart.