Falfurrias buys RED Group to build industrial automation platform
What's the deal? Charlotte-based private equity firm Falfurrias Capital PartnersDealroom has a profile for this one. Try Dealroom → has bought RED GroupDealroom has a profile for this one. Try Dealroom →, a Metairie industrial automation and engineering company, in a buyout that closed October 19. Terms were undisclosed. Falfurrias is making RED GroupDealroom has a profile for this one. Try Dealroom → a platform investment and combining it with Industrial Design SolutionsDealroom has a profile for this one. Try Dealroom →, a Phoenix control systems integration company.
What does RED Group do? Founded in 2006 as Remont Engineering & Design Group, it provides electrical and control systems design, control panel fabrication, commissioning, and industrial network design.
What's the endgame? Falfurrias plans to push the combined company into new markets, broaden its technical capabilities, and pursue more acquisitions. The firm is betting on rising demand across energy, data centre, maritime, manufacturing, infrastructure, and industrial AI markets. RED Group chief executive officer Carl Fangue will lead the combined business; founder Kyle Remont stays on and joins the board.
A parallel deal: In October, Baton Rouge construction software firm Paperless EnvironmentsDealroom has a profile for this one. Try Dealroom → sold to UK software vendor Sage GroupDealroom has a profile for this one. Try Dealroom →. Paperless, founded in 2005, serves more than 1,400 customers across the US, Canada, and Australia with accounts payable automation, document management, and subcontractor compliance tools. Terms were undisclosed.
It is Sage's second construction acquisition in under two months, following its August purchase of Bangert. Together, the deals add AI and automation to help Sage compete with field-first platforms like ProcoreDealroom has a profile for this one. Try Dealroom →.
The expansion angle: Separately, Spark Dealer GroupDealroom has a profile for this one. Try Dealroom → agreed on October 19 to acquire Gonzales-based Gautreaux's Outdoor Power, a family-owned equipment dealership founded in 2004. The deal marks Spark's entry into Louisiana and grows its network to 23 dealerships.
The signal: Recent Louisiana dealmaking spans sectors, from Solaris Energy InfrastructureDealroom has a profile for this one. Try Dealroom →'s roughly $129 million purchase of Omega Foundation ServicesDealroom has a profile for this one. Try Dealroom → in September to United RentalsDealroom has a profile for this one. Try Dealroom →' buy of Enviro Services Rental. Rather than one statewide consolidation wave, buyers are using Louisiana businesses to add capabilities, enter markets, and build larger platforms.
Read more: neworleanscitybusiness.com
Image credit: landrovermena
