Graycliff's GCP Ascend fund backs ValveTek and MeterTek water-utility services

What's the deal? Graycliff PartnersDealroom has a profile for this one. Try Dealroom → has acquired ValveTek Utility Services and MeterTek Utility Services, Kenilworth, New Jersey-based providers of water meter and distribution system services to municipal and investor-owned utilities. The investment was made through the firm's GCP Ascend small-cap fund. Terms were not disclosed.

What do they do? Founded in 2000, the combined company operates six facilities across the Northeast. Its teams replace residential and commercial meters, exercise valves and hydrants, and build meter pits — services tied to regulatory compliance and water-infrastructure reliability.

What changes? Founders Jeff Favina, Christina Loor, and Gary Mahoney are staying with the business. Favina remains CEO. "With their experience and resources, we are eager to expand into new markets, add services, and keep delivering for our utility and municipal customers," he said.

Why now? The deal is the second platform investment for GCP Ascend, which targets founder- and family-owned businesses in manufacturing, industrial services, and value-added distribution.

What's the endgame? Graycliff backs the team's plan to grow into new geographies and add services. "We are excited to support the team as it builds on that foundation by expanding into new markets and additional services," said Sarah Paquet, principal at GCP Ascend.

The signal: Lower middle-market investors are increasingly targeting unglamorous but essential infrastructure services, where steady demand and regulatory requirements provide a durable base to build regional platforms through add-on acquisitions.

Read more: business.theantlersamerican.com

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