Capstone Headwaters advises Edgewater Technical Associates on recapitalization with Alaris Equity Partners

Capstone Headwaters advised Edgewater Technical Associates (“Edgewater” or “the Company”), an engineering staffing firm, on its recapitalization with Alaris Equity Partners (“Alaris”). Terms of the deal were not disclosed.   

Founded in 2003 and employing over 400 highly skilled professionals, Edgewater is a professional and technical services firm that supports the U.S. Department of Energy; organizations involved in the commercial nuclear industry in the U.S., UK, and Canada; and other private sector business involved in other high-hazard or complex operations. The Company provides subject matter expertise and staff augmentation support in specialty areas such as nuclear operations, nuclear safety basis, multidisciplinary engineering, regulatory compliance, waste management, and environmental remediation. Edgewater has five offices, with corporate headquarters in Los Alamos NM, and regional offices in Carlsbad NM, Oak Ridge TN, Aiken SC, and Hanford, WA.

Founded in 2004, Alaris is a private equity firm based in Calgary, Alberta. The firm targets traditional majority recapitalization/control sale mandates and structures the investments using a combination of non-control, perpetual preferred equity and common equity. Throughout Alaris’ 16-year history, their preferred MBO solution has proven to create full liquidity events for the exiting majority shareholders while simultaneously providing an attractive option for high quality management teams to become majority owners of their company. With an evergreen capital base, Alaris’ the balance sheet is positioned to provide access of up to $200 million of capital on an ongoing basis. Alaris has approximately 85% of its investments in US-based companies. 

Michael Kirkpatrick, Founder of Edgewater, said

“This transaction enabled us to realize the value in the decades of hard work that have gone into building our business, and we are excited to pass the torch on to the next generation of leaders, in partnership with Alaris Equity Partners. The team at Capstone helped us anticipate and navigate the many issues that arise during a process like this, and we could not have reached the incredible outcome that we did without their guidance.”

Bob Balaban, Managing Director at Capstone and lead on this transaction, added

“It was a privilege for us to represent such outstanding engineering services firm. The management team at Edgewater has worked tirelessly to grow the business into the market leader that it is today, and we are thrilled to have been a part of reaching the next step in their journey.”


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