Subject: Green Merger News - Year in Review and Outlook 2019

March 2019
Edited by Ron Edmonds

The Principium Group
In this issue
Commentary - I Still Don't Know How Long This Market Will Last
Year in Review and Outlook for 2019
PREScore - Exit Your Business With No Regrets 
Recent Transactions
The Value Builder Score
Valuation Services
Year in Review and Outlook
To our clients & friends:

While I am writing this, I am looking at an issue of Mergers & Acquisitions magazine on my desk.  On the cover is a quote, "It's a great market,  but conditions like this don't last forever."  That pretty well sums up my thinking right now.  Interestingly, that quote was from June 2015, over three and one-half years ago.  Today, we are even farther into the business cycle.  If the economy continues to expand, in June, the expansion will become the longest expansion since World War II.  It would be easy to assume that things have changed and business cycles don't matter any more.  In my opinion, that would be very unwise.  However, I still don't know how long this market will last.

By any measure, 2018 was an extraordinary year for M&A activity in the lawn and landscape industry.  The brisk activity of 2018 has already spilled over into 2019.  We've compiled an extensive recap if 2018 and discussion of the 2019 outlook.  The 20-page report is now available for download.

We are also rolling out a new tool called PREScore.  PRE stands for Personal Readiness for Exit.  It is designed to help a business owner assess where they stand personally in anticipation of an exit.  We invite you to check it out.  The questionnaire only takes eight minutes to complete.  It is a companion to the Value Builder Score which focuses ion your business's readiness.

As always, if you are ready to discuss the sale or acquisition of a lawn or landscape business, we would welcome the opportunity to talk.  Give us a call or email.

Ron Edmonds
901-351-1510 (cell
The Year in Review and Outlook for 2019

Who acquired who?
Who are the major buyers today?
How long will this cycle last?
This year, we have published a 20-page special report covering merger & acquisition activity within lawn, landscape and related industries. This report includes a detailed listing of acquisitions reported during the year and commentary on current trends. It also includes our assessment for the current year and beyond.
Are you ready to exit your business?  Do you understand your options?  Do you know what is most important to you?

We are making available a new tool to help you explore the answers to those questions.  It is called PREScore.  Exit Your Business With No Regrets.

PREScore™ (or Personal Readiness to Exit Score) is an 8-minute, online questionnaire that evaluates a business owner’s readiness to exit their company on a personal level. Using an exclusive algorithm – developed by analyzing more than 40,000 business owners and conducting more than 200 in-depth interviews with owners who have recently sold – PREScore™ calculates an owner’s readiness by identifying their status on each of the 4 drivers of a satisfying exit.

The 12 questions that make up PREScore™ are often overlooked by business owners, leaving them unprepared and in a state of crisis after the decision to exit is made. PREScore™ helps identify the at-risk areas and provides personalized recommendations for improvement, helping owners create a personal plan that ensures a happy and lucrative exit. 

PREScore has a different focus from the Value Builder Score.  The PREScore focuses in the business owner's personal readiness while the Value Builder Score focuses ion the business's readiness.

Here is a recap of recently reported merger & acquisition transactions  in the lawn and landscape industry:

California-based Alabama-based Landscape Workshop has acquired Bayou Lawn and Landscape in Valparaiso, Florida.

Mountain View Landscapes has acquired Amherst Landscape & Design in New Hampshire

Davey Tree has acquired Landscape Management Services in Houston, TX.

Bartlett Tree Experts made eight acquisitions in the last half of 2018.

BrightView Landscapes has acquired Benchmark Landscapes in Texas.

BrightView Landscapes also acquired Emerald Landscape in Northern California.

SavATree acquired Integrity Tree Service in Arizona.

Salt Creek Capital has acquired Beauchamp Lawn & Snow in Michigan.

Yellowstone Landscape Group has acquired Somerset Landscape, with operations in Arizona, Nevada and Texas

Signature Coast has acquired C&R Landscape in Northern California.

Rotolo Consultants has acquired Bay Landscape in Florida.

SiteOne Landscape Supply has acquired All Pro Horticulture on Long Island.

SiteOne also  acquired Cutting Edge Curbing, Sand & Rock in Arizona. 

Ewing Irrigation and Landscape Supply acquired three Kinney Outdoor Solutions locations in Michigan and Indiana

International Deals

idverde has acquired KJT Group in Devon, South West England

Do you have a business that is valuable & sellable?
Find out by taking a brief online questionnaire to receive an immediate Value Builder Score of between 1 and 100 for your business. You will also receive a 26 page report full of charts and graphs that will give you insights into how buyers evaluate your business.
Click here for more information and to get your Value Builder Score.
Do you understand the value of your business?
Understanding the value of your business is a key step in exit planning. We offer cost-effective valuation services which help you understand the value of your business and the factors that drive that value.
Contact us for more information.
The Principium Group provides advisory services related to mergers & acquisitions and exit planning to lawn, landscape, and facilities services businesses. Our professionals have assisted business owners in hundreds of transactions. For buyers, Principium provides assistance and counsel in strategic planning, identifying potential acquisition targets, due diligence and planning for successful integration of acquisitions. For sellers, Principium provides assistance and counsel in evaluating strategic alternatives, identifying and negotiating with potential acquirers and assisting with transactions from due diligence through the closing process. In order to provide the highest quality service, we maintain relationships with other professionals serving the green industry and can access those professionals to supplement our internal resources. No matter how large or small your business may be, we have the resources to serve you well. We understand that the decision to buy or sell your business is a profound one, and we pledge to work with you in a professional and confidential manner while we help you navigate this often confusing process. Whether you have immediate plans to buy or sell a business or may sometime in the future as part of an exit planning strategy, we would welcome the opportunity to talk with you about your business.
The Principium Group

P.O. Box 414
Cordova, TN 38088
Ron Edmonds

Chris Martin
888-229-5740, ext 103

The information included in this newsletter is derived from publicly available sources. Our intent is to give a perspective on the industry taken as a whole. The inclusion of a transaction in this newsletter does not imply that The Principium Group acted as an advisor to either of the parties to the transaction. It is the policy of The Principium Group always to maintain the confidentiality of its client relationships. For those transactions in which The Principium Group did play a role, the information included herein is still limited to that available through public sources.
Principium Group, PO BOX 414, 38088, Cordova, United States
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