Acquisition Announcement: Barrieau Oil Company, Inc.
KENT, Conn. – September 15, 2020 – Cetane Associates LLC (“Cetane”) is pleased to announce that Tower Energy Holdings Company and Tower Energy, LLC (together “Tower Energy”) in Plainville, Conn. have acquired the full-service energy business of Barrieau Oil Company, Inc. (“Barrieau Oil”) in West Hartford, Conn. The transaction closed on July 30, 2020.
Barrieau Oil, founded in 1971, provides heating oil delivery and HVAC and plumbing services to residential customers in much of central Connecticut under the brands Barrieau Oil Co., The James O’Toole Company, Ney Plumbing and Heating, and The Wm A. Murray Company.
Tower Energy, started in 2004 by Nick Scata, is a full-service provider of heating oil, propane, and HVAC services to residential and light commercial customers throughout northwestern Connecticut. Jerry Greco joined Nick in 2019 with the goal of building a premier full-service energy company in northwestern and central Connecticut.
Robert “Bob” Barrieau, owner and President of Barrieau Oil, remarked that “I am very pleased with the sale to Nick and Jerry’s company. The combination of the two businesses should be a real win for the customers and employees of both organizations.” He further observed, “While I certainly knew how to run a business, I had zero experience selling one. Steve, Josh, and Fred at Cetane Associates really kicked in and made this deal happen from start to finish.”
Nick Scata, President of Tower Energy, stated that “Bob built a solid business with which we can extend our operations eastward. Given the challenging work environment of the past six months, I’m super pleased to note that the deal process was not significantly impacted. We look forward to continue operating the business under the Barrieau Oil brand into the foreseeable future using its team and facility.”
Cetane served as the sole arranger and financial advisor to Barrieau Oil. Cetane advised on the sale, including an initial valuation opinion, marketing the business through a confidential process, assisting in the negotiation of final deal terms, and coordination of the due diligence process. The transaction was managed by team members Steve Abbate, Joshua Wolf, and Fred Lord.
About Cetane Associates
Cetane Associates LLC is a leading provider of financial advisory services to owners of businesses in the retail energy distribution industry. Clients engage Cetane to advise on sales, spin-offs, and acquisitions, as well as perform valuation and ad hoc corporate finance assignments. For more information, please visit www.cetane.net.