AMERICAN INDUSTRIAL PARTNERS TO ACQUIRE VEOLIA NORTH AMERICA'S SULFURIC ACID REGENERATION BUSINESS

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American Industrial Partners (AIP) has acquired Veolia North America's Sulfuric Acid Regeneration Business, renaming it Nexpera. The company provides critical environmental services and sulfur-based products for various industries, including refineries, semiconductor production, mining, and EV battery manufacturing.

Nexpera operates 13 facilities across the U.S., employing approximately 300 full-time employees. The acquisition aims to accelerate expansion and capitalize on industry advancements. CEO Stuart Thomas emphasized the opportunity to become the leading provider of outsourced refinery regeneration services.

AIP Partner Alex Schukin highlighted Nexpera's alignment with market drivers related to clean fuel production, emission reduction, and reshoring of industrial activities in the U.S. The partnership is expected to enable Nexpera to meet growing demand for clean-burning fuel components with sustainable and efficient regeneration services.

The partnership will enable the Company, which is a market-leading provider of mission-critical environmental services and specialty sulfur-based products for diversified industries, to accelerate its expansion strategy

NEW YORK, July 31, 2024 /PRNewswire/ -- American Industrial Partners ("AIP") today announced it has acquired the Sulfuric Acid Regeneration Business ("the Company") of Veolia North America ("Veolia"), which includes its sulfuric acid and potassium hydroxide regeneration, sulfur gas recovery, and sulfur-based products production businesses. The company has been renamed Nexpera, with the mission to bring next-level expertise for industrial chemistry to its customer base.

A provider of mission-critical circular economy environmental services and products, the Company helps refineries cleanly process sulfur gas and regenerate spent sulfuric acid and potassium hydroxide which are critical to the alkylation process. In addition, the Company manufactures sulfuric acid and sulfur derivatives for a broad range of industrial processes, including semiconductor production, gold and copper mining, and EV battery production.

Sulfuric acid is the world's largest volume industrial chemical and is used in many industries, including as a catalyst in alkylate production where the Company is a U.S. industry leader supporting refinery customers to regenerate spent sulfuric acid back to original properties for reuse. The Company also regenerates and converts sulfuric acid, sulfur gas and elemental sulfur into merchant sulfuric acid and high-value sulfur derivatives for industrial end uses, including fertilizers, metals, personal care, water treatment, and chemical processing. Headquartered in Newark, Delaware, the Company operates 13 facilities, including five onsite at refineries, and employs approximately 300 full-time employees across the U.S.

"Over the last two decades there has been transformative advancement in the industry, providing a great opportunity for us to increasingly serve as the go-to provider of outsourced refinery regeneration services," said Stuart Thomas, CEO at the Company. "The business is expected to continue to benefit from strong tailwinds and our partnership with AIP will enable us to further capitalize on those opportunities to take the business to new heights. We look forward to this next chapter and working closely with AIP to chart our future growth."

Alex Schukin, Partner at AIP, said, "Nexpera's business units align with strong market drivers related to clean fuel production, emission reduction, and reshoring of industrial activities in the U.S.  We look forward to partnering with the Nexpera team as they enable their customers to meet the world's growing demand for clean-burning fuel components with sustainable, efficient and environmentally conscious regeneration services. As an industry leader, the Company serves a vital role in our nation's energy infrastructure while also addressing diverse, growing, and high-value applications across the industrial economy."

Perella Weinberg Partners and Messier & Associés served as financial advisors and Seyfarth Shaw LLP served as legal counsel to Veolia. Chemlink Partners, LLC served as financial advisor and Ropes & Gray LLP served as legal counsel to AIP.

About Nexpera

Nexpera, LLC, a North American industrial chemistry solutions provider, specializes in sulfuric acid and potassium hydroxide (KOH) regeneration services, as well as sulfur-based chemical products and related services. Through strategically located facilities across North America, Nexpera delivers mission-critical products and services to diverse industries, with a significant presence in the energy and chemicals sector. With decades of experience, Nexpera offers innovative and reliable solutions that minimize waste generation while maximizing operational efficiency for its partners. www.nexperasolutions.com 

About AIP

American Industrial Partners ("AIP") is an industrials investor, with approximately $16 billion in assets under management. AIP is distinctively focused on industrial businesses across a broad range of end markets that include: aerospace and defense, automotive, building products, capital goods, chemicals, industrial services, industrial technology, logistics, metals & mining, and transportation, among others. AIP looks to generate differentiated returns by investing in quality industrial businesses with strong management teams and working with those teams to implement comprehensive operating agendas to build long-term value. Current AIP portfolio companies generate aggregate annual revenues of approximately $25 billion and employ approximately 65,000 employees as of March 31, 2024. In October 2023, AIP closed its eighth fund at $5.1 billion. www.americanindustrial.com

About Veolia

Veolia's ambition is to become the benchmark company for ecological transformation. With nearly 218,000 employees on five continents, the Group designs and deploys useful, practical solutions for managing water, waste and energy that help to radically change the world. Through its three complementary activities, Veolia contributes to developing access to resources, preserving available resources and renewing them. In 2023, the Veolia group served 113 million people with drinking water and 103 million with wastewater services, produced 42 terawatt-hours of energy and recovered 63 million metric tons of waste. Veolia Environnement (Paris Euronext: VIE) generated consolidated sales of €45.3 billion in 2023. https://www.veolia.com  

Contacts:

Media Inquiries: American Industrial Partners – pro-AIP@prosek.com

Veolia North America - Nate Pepper - nathan.pepper@veolia.com

 

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SOURCE American Industrial Partners

FAQ

What company did American Industrial Partners acquire from Veolia North America?

American Industrial Partners acquired Veolia North America's Sulfuric Acid Regeneration Business, which has been renamed Nexpera.

What services does Nexpera provide after the acquisition?

Nexpera provides mission-critical circular economy environmental services, including sulfuric acid and potassium hydroxide regeneration, sulfur gas recovery, and production of sulfur-based products for various industries.

How many facilities does Nexpera operate in the United States?

Nexpera operates 13 facilities across the United States, including five onsite at refineries.

What are the main industries served by Nexpera's products and services?

Nexpera serves various industries including refineries, semiconductor production, gold and copper mining, EV battery production, fertilizers, metals, personal care, water treatment, and chemical processing.

What are the key market drivers aligned with Nexpera's business, according to AIP?

According to AIP, Nexpera's business aligns with market drivers related to clean fuel production, emission reduction, and reshoring of industrial activities in the United States.