PHILADELPHIA, June 11, 2012
PHILADELPHIA, June 11, 2012 /PRNewswire/ -- VantaCore Partners LP ("VantaCore" or the "Partnership") today announced the acquisition of Laurel Aggregates LLC ("Laurel"). Laurel is a leading regional producer of limestone aggregate products serving the energy and construction industries in southwestern Pennsylvania, northern West Virginia, and eastern Ohio. The company operates one large limestone quarry in Lake Lynn, Pennsylvania (65 miles south of Pittsburgh) and also sources stone from third party quarries. Laurel's quarry location has both a surface and underground mine operation, with an estimated 197 million tons of reserves. Barry Fink, who joined Laurel and has led its growth since 2007, will join VantaCore as Laurel's Vice President and General Manager. Under Barry's leadership, Laurel developed strong relationships with multiple energy companies working in the Marcellus and Utica Shale regions.
"The acquisition of Laurel continues VantaCore's strategy of acquiring well-managed operations with a strong group of assets, located in areas of significant growth," said Colin Oerton, Chief Executive Officer of VantaCore. "This represents VantaCore's seventh acquisition since its 2006 formation, and more than doubles the size of our company in terms of volume. This acquisition expands both our geographic and operational footprint into the Marcellus and Utica regions, areas that are actively being explored and developed by major energy companies and a region identified as important to this country's future growth in the natural gas sector. We are also particularly excited to have Barry and his strong group of employees joining the VantaCore team." Barry Fink commented, "As part of VantaCore, Laurel will be able to continue its outstanding service to its customers and will be able to participate in a number of exciting growth opportunities."
Equity financing was provided by Trilantic Capital Partners and Kayne Anderson Energy Development Company (NYSE: KED). Debt financing was provided by PNC Bank, N.A., a member of The PNC Financial Services Group, Inc. (NYSE: PNC), which also expanded its existing Credit Facility with the Partnership. VantaCore will continue to finance its growth program with funds available from both its equity sponsors and PNC.
Laurel was advised by The Orr Group, LLC on this transaction.
VantaCore is a private company focused on acquiring competitively advantaged aggregate and related businesses in the domestic U.S. market. Including the Laurel operations, VantaCore produces aggregates at four locations and supplies customers in eight states. The primary operating locations include surface and underground operations in Lake Lynn, Pennsylvania (with 197 million tons of reserves), an integrated limestone quarry and commercial asphalt operation in Clarksville, Tennessee (with permitted surface reserves of about 73 million tons), a limestone quarry in Todd County, Kentucky (with 41 million tons of reserves), and a sand and gravel business near Baton Rouge, Louisiana (with approximately 39 million tons of gravel reserves). VantaCore's interest in retaining local company management and its financial structuring flexibility have driven the Partnership's acquisition growth to date. Management plans to continue this successful strategy of growing primarily through acquisition and organic growth. To date, VantaCore has been financed by Trilantic Capital Partners, Kayne Anderson Energy Development Company (NYSE: KED), Tortoise Capital Resources Corporation (NYSE: TTO), and Hartz Capital Investments LLC. For more information on VantaCore, please visit our website at www.vantacore.com or contact us at firstname.lastname@example.org. For more information on Laurel, please visit their website at www.laurelaggregates.com.