Transaction Overview
Transaction
Sale of 6 water services businesses of the National Water Group to AMP Private Equity and Tyco Flow Control
Date
July 2007
Deal Value
$45 million
PCP Role
Financial Adviser to National Water Group
National Water Group – sale of six water services businesses
Transaction
Sale of six regional water services businesses out of the National Water Group (“NWG Businesses”) to AMP Private Equity (“AMP PE”) and Tyco Flow Control (“Tyco”) for $45 million.

Scope of Advisory Services
Six member businesses of the National Water Group (an association of independent water services businesses located in Queensland and NSW) engaged Pitt Capital Partners (“PCP”) as their sole financial advisor to determine the most appropriate sale transaction structure to pursue in order to maximise the value and liquidity for each of the businesses following an approach from private equity and industry participants.

Process
The NWG Businesses received unsolicited approaches from AMP PE who was undertaking an industry roll up in the water services sector.

Following AMP PE’s approach, PCP ran a formal sale process which involved identifying and contacting other potential bidders, preparing marketing information, assisting in the preparation of due diligence information and facilitating the data room process. PCP also negotiated the transaction documentation for each business.

Outcome
PCP acted as the conduit between the vendors who were selling their business and the financially sophisticated purchaser. PCP minimised transaction costs for each party by negotiating standardised contracts. As a result of PCP introducing multiple parties into the bidding process, the NWG Businesses received highly attractive offers from multiple parties which resulted in four of the NWG Businesses being sold to AMP PE and two being sold to Tyco for a combined value of $45 million. This value was a substantial premium to both the price each of the businesses would have received if sold individually and to the original offer from AMP PE.