Landscape Management, October 2012
S21 Playing their cards right Landscape professionals are taking their time on the M A front strategically crafting their next moves instead of taking risks W ith the economy still resting on a slowly spinning axis and with recent changes at the top for some of the Green Industrys largest players a blockbuster merger in 2013 would come as a surprise consultants say But that doesnt mean businesses are sitting idle either The mergers and acquisitions M A market simply is trending toward more small and mid sized deals And behind those deals is a greater amount of scrutiny and wisdom than in past times Ruppert Landscape based in Laytonsville Md has made three acquisitions in the last four months Among them Raleigh N C based commercial grounds management companies Eco Scapes and New River Landscape and site development project management firm the Watchman Group out of Kensington Md The first two acquisitions have led Ruppert to grow by about 18 million and have brought it outlets for more diverse services says company President Chris Davitt The Watchman Group acquisition meanwhile will bring Ruppert millions of dollars more in opportunities With its Raleigh buy ups Ruppert acquired businesses that already were well established in the local market giving it a foothold in the city and putting its Raleigh branch in the fast lane to profitability Its gotten us to size a lot sooner its gotten us a group of partners artners who k kn know ow the market and we now have more j jobs b to use as references f says D Davitt i Raleigh is a strong market now for a couple reasons says Ron Edmonds a consultant at the Principium Group Not only is there built in growth but also in markets that are expanding the competitive fire might not be as severe he says Being more selective Before making its newest moves Ruppert hadnt made an acquisition in six years And though its become more active lately Davitt says it looks at eight or nine companies for every deal it strikes Edmonds says that selectiveness is in line with what hes observed in the last couple years The predominant trend is playing it safe he says The process of acquiring companies is very disciplined now Jeff Harkness a landscape management consultant with 3PG Consulting agrees saying buyers due diligence is more focused today Buyers are more detailed and cautious in their analysis of a company he says adding theyre taking a closer look at everything from job pricing to equipment condition Harkness also sees more discipline on the side of sellers Selling your business is becoming much more strategic he says You really plan for it over a 12 to 36 month period if youre wise If youre waking up and saying I want out of this it By Beth Geraci Senior Editor OCTOBER 2012 LANDSCAPEMANAGEMENT NET
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