Anacacia calls in Allier Capital to shop infra biz
Anacacia Capital has tapped Allier Capital to field inbound interest for its construction and infrastructure advisory business RP Infrastructure, Street Talk understands.
The appointment followed a competitive bidding process where investment banks pitched their ideas and credentials to nab a role as sell-side adviser for the business. It makes earnings of between $14 million to $16 million on turnover of $90 million to $100 million, sources said.
RP Infrastructure was called in to upgrade the Sydney Opera Houses’ Joan Sutherland Theatre in 2016.
Sydney advisory firm Allier will work in partnership with US-based boutique William Blair to explore a range of strategic options in the new year including bringing a new majority shareholder onto its register. The duo formed a strategic alliance in 2016 which has seen them work together on cross-border merger advisory mandates.
RP Infrastructure (RPI) – once known as Root Partnerships – is an infrastructure advisory and project management business with over 300 employees. It’s been around since 1994 and has major government and commercial clients with plum jobs including working on the Sydney Opera House, Melbourne Airport, Australian War Memorial and Inland Rail.
It has a two-pronged offering, starting with advisory (such as getting government approvals including funding) and execution (such as project management) down the line.
Under Anacacia’s wing it’s made a series of bolt-on acquisitions including Queensland-focused peer Ranbury in April, which services building, transport, resources and utilities sectors, and smaller rival InfraSol Group in 2022.
Anacacia Capital dealmaker Jeremy Samuel. Jessica Hromas.
RPI, which Anacacia acquired in 2019, sits within its Private Equity III fund. The fund has another five years on it and holds six other companies including parking software & services company Duncan Technologies, employment & disability services provider Sureway and business-to-business Direct Couriers. Anacacia typically looks to exit companies within five years, which means RPI is ready to come out of the oven. Its holdings in ASX-listed building supplies distributor Big River and fire protection business Force Fire could also change hands in the new year.
Anacacia was founded in 2007 by former ANZ Capital private equity director Jeremy Samuel. The firm typically invests in profitable businesses with revenues of between $20 million and $500 million. It ruled off the first close of its fourth mid-market buyout fund – Anacacia Private Equity IV – on November 1, raising $150 million from high-net-worth individuals and institutions. The 10-year fund will look to invest in up to 12 profitable small-to-medium businesses.
Allier was established in 2009 by former Citigroup and Merrill Lynch banker Matthew Stubbs. Its current mandates include canvassing interest in The Growth Fund’s bulk billing medical specialist Quantum Radiology and shopping human resources software business Tambla. The firm also acted as financial adviser for PM Capital on its sale to Regal Partners last month.
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