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Reynolds Advisory Partners acts as Exclusive Financial Advisor to Conco Services Corporation in its Recapitalization.

Pittsburgh, Pennsylvania – Reynolds Advisory Partners is excited to announce the recapitalization of  Conco Services Corporation (“Conco” or the “Company”) by Rising Point Capital (“RPC”) in conjunction with subordinated debt and equity investments provided by Tecum Capital Partners (“Tecum”) and UMB Capital Corporation (collectively, the “Investor Group”) . The Investor Group partnered with the Saxon-Godish Family and existing management team, who will remain with the Company and retain a significant stake. Financial terms of the transaction were not disclosed.

Founded in 1923, Conco (www.concosystems.com) is the leading provider of low-pressure, mechanical heat exchanger tube cleaning and non-destructive testing services to power generation and industrial companies. Long recognized as a the technological and market leader in the mechanical cleaning of condenser and heat exchanger tubes, Conco leverages its advanced systems to provide environmentally friendly, safe services improving customer operations and maintenance practices. Conco’s proprietary product applications result in significant cost savings for its customers through immediate improvements in plant heat transfer rate, megawatt output, fuel consumption, and CO2 emissions, while reducing water usage, time, and expense in the cleaning process.

 “We are very excited to bring the Saxon-Godish Family, who has owned and operated Conco since 1971 together with a very strong group of investors with significant industry experience, conservative capital structure and a great cultural fit.” said Doug Reynolds, Founder and Senior Managing Director of RAP.  “This transaction allows increased liquidity for the family while providing the Company substantial expertise and capital to pursue numerous key strategic priorities, including enhanced growth within industrial customers, investment in back-office support and expansion of service offerings.”

 “My family and I are thrilled to bring in partners whose culture and values align with what we have built for nearly 50 years. We are excited to capitalize on our many growth opportunities while maintaining a culture of safety and quality”, said CEO Ed “Gunner” Saxon.  “Doug and his team did a great job finding the perfect fit while negotiating a transaction which perfectly aligns the parties’ interests to achieve future success.”

Michael Drai, Managing Partner of RPC, and Justin Marku, Managing Director of RPC, commented on the transaction, “We are excited to partner with Tecum, UMB and the Saxon-Godish family on the investment in Conco.  Over its almost 100-year history, including almost 50 years owned and operated by the Saxon-Godish family, Conco has established a reputation for safe, high quality, cost-effective and differentiated service.  We look forward to continuing this legacy while also capitalizing on opportunities to enhance the growth of the Company.”

Stephen Gurgovits, Jr., Managing Partner of Tecum, stated, “We are thrilled to invest in a local business and have the opportunity to partner with RPC given their proven experience and track record in managing field-based industrial services businesses.  There is strong cultural alignment across Tecum, RPC, and the Saxon-Godish Family as we collectively work to progress the Company through its next phase of growth.” Matt Harnett, Partner of Tecum, added, “Conco’s environmentally friendly technology is viewed as a “better mouse trap” by its customers – safer, faster, and cleaner.  The Company provides non-discretionary services and has leading market share in the power generation end-market. They’re positioned well to continue penetrating its tube cleaning services and technology across the industrial segment. We believe we have the right team in place to capitalize on the positive tailwinds that exist.”  Andre Trudell, President of UMB Capital Corporation, said, “The enthusiasm this group shares about this partnership is inspiring. Joining the expertise of the Saxon-Godish Family, Tecum and RPC, we’re excited to play a role in the continued growth of the Company as they provide innovative, best-in-class services.”

ABOUT CONCO SERVICES CORPORATION

Founded in 1923, Verona Pa-based Conco Services Corporation (www.concosystems.com) is the leading US  provider of low-pressure, mechanical heat exchanger tube cleaning and non-destructive testing services to power generation and industrial companies. Long recognized as a the technological and market leader in the mechanical cleaning of condenser and heat exchanger tubes, Conco leverages its advanced systems to provide environmentally friendly, safe services improving customer operations and maintenance practices.

ABOUT RISING POINT CAPITAL

Rising Point Capital is an investment firm headquartered in Chicago, Illinois founded by Michael Drai and Justin Marku. RPC provides partnership and capital to transform and grow businesses, investing primarily in founder-owned business and consumer services companies in the lower middle market. RPC approaches each investment with the same set of core values: integrity, transparency, authenticity and open-mindedness. For more information, please visit www.risingpointcapital.com

ABOUT TECUM CAPITAL PARTNERS

Tecum Capital Partners is an independent investment firm based in Pittsburgh, Pennsylvania with over $750 million in assets under management. Tecum is a multi-strategy investor and is currently investing out of its second SBIC Fund. The investment team partners with independent sponsors, family offices, business owners seeking succession plans, and management teams to create shared success. Since 2006, Tecum’s investment professionals have invested in over 80 platform and add-on acquisitions. Tecum specializes in growth-oriented, middle-market companies across the broader high-value manufacturing, value-added distribution, and business service sectors, with a focus on businesses with EBITDA greater than $2 million. Tecum seeks to invest $5 million to $20 million in potential portfolio companies. For more information, please visit www.tecum.com.

ABOUT UMB CAPITAL CORPORATION

UMB Capital is an SBIC fund based in Kansas City, Missouri, providing flexible financing solutions in the form of mezzanine debt and minority equity. UMB offers a collaborative solution based on transparency and trust to create long-term partnerships with businesses. For more information, please visit www.umb.com.

ABOUT REYNOLDS ADVISORY PARTNERS LLC

Reynolds Advisory Partners, LLC (”RAP”) is a boutique investment bank with a focus on the “middle market”. RAP provides a full suite of financial advisory services for mid-size and growing companies, including mergers, acquisitions, divestitures, restructurings, and the issuance of debt and equity capital. RAP provides its services nationally in the United States, through its offices in Los Angeles and Denver, Colorado For more information, visit www.reynoldsap.com

Reynolds Advisory Partners, LLC - Investment Banking Contact:

Douglas E Reynolds, Senior Managing Director: dreynolds@reynoldsap.com 626-316-6090