Strength Capital Partners, LLC (“Strength Capital” or “SCP”), a leading lower middle-market private equity firm, is pleased to announce the closing of a single-asset continuation vehicle, extending its investment and partnership with ESP Associates, Inc. (“ESP” or the “Company”). The transaction provides liquidity to Strength Capital’s existing investors and supplies the Company with access to substantial add-on capital to support organic growth initiatives and strategic acquisitions. The continuation vehicle, managed by Strength Capital, was led by investment funds affiliated with Neuberger Berman and supported with significant rollover investment from SCP and the ESP management team.
Founded in 1986 and headquartered in Fort Mill, South Carolina, ESP is a multidisciplinary engineering design and infrastructure consulting firm serving a broad range of public and private clients across the United States. Since its initial investment in 2018, SCP has partnered with ESP management to transform the Company through a combination of strategic value creation initiatives and the completion of five complementary acquisitions that significantly expanded the platform’s geographic footprint while also diversifying its end markets and service offerings under a unified team of companies.
“The completion of this continuation vehicle is a significant milestone for Strength Capital and ESP,” said Mark McCammon, Co-Founder and Managing Partner at Strength Capital. “We are excited to reaffirm our commitment to ESP while providing an attractive liquidity option for existing investors. As we enter this next chapter, we plan to continue executing on our initial vision for the platform – to build a broadly diversified, market leading infrastructure growth platform supported by long-term environmental and demographic investment trends. We are confident there is a long runway ahead for ESP, and this transaction provides the Company with fresh capital and a supportive, blue-chip partner to accelerate investment in talent, technology, and strategic M&A that will deliver lasting value for employees, clients, and equity holders.”
Frank Guglielmo, Managing Director at Neuberger Berman, said, “We have been impressed with the Strength Capital Partners team and look forward to our partnership on this continuation fund transaction. We believe recapitalizing ESP Associates with follow-on capital will enable Strength Capital Partners and the ESP Associates’ management team to continue creating value for all stakeholders, driven by both organic and inorganic growth.”
Taft Stettinius & Hollister LLP acted as legal counsel for Strength Capital, and Eaton Partners, a Stifel company, served as exclusive financial advisor to Strength Capital and ESP. Gibson, Dunn & Crutcher LLP acted as legal counsel for Neuberger Berman.
About Strength Capital Partners
Founded in 2000, Strength Capital Partners is a private equity firm with offices in Birmingham, MI, Cincinnati, OH and Denver, CO. SCP invests throughout the United States in lower middle-market business with $4 – $25 million in EBITDA. They pursue investments in a wide range of industries with a focus on manufacturing, distribution, and infrastructure and industrial services. Strength Capital’s core strategy is “Industrial Consolidation” whereby they seek to grow and diversify their platform companies through a combination of strategic acquisitions and organic growth. For more information, please visit www.strengthcapital.com.
About ESP Associates
ESP Associates, Inc., a portfolio company of Strength Capital Partners, is a national multidisciplinary engineering design and infrastructure consulting firm providing clients with comprehensive, scalable solutions across the transportation, power and utility, water, broadband, municipal, and community development markets. Built on an entrepreneurial spirit, ESP is structured to stay innovative and adaptive. Since its inception in 1986, ESP has continually expanded its breadth of services, geographic reach, technology capabilities, and organizational talent to deliver complete project solutions that meet the growing needs of its clients. Now with nearly 800 employees in more than 30 offices across the U.S., ESP is well-equipped to solve the complex challenges for today’s rapidly changing environment. For more information, visit www.espassociates.com.
About Neuberger Berman
Neuberger Berman is an employee-owned, private, independent investment manager founded in 1939 with over 2,800 employees in 26 countries. The firm manages $515 billion of equities, fixed income, private equity, real estate and hedge fund portfolios for global institutions, advisors and individuals. Neuberger Berman's investment philosophy is founded on active management, fundamental research and engaged ownership. Neuberger Berman has been named by Pensions & Investments as the #1 or #2 Best Place to Work in Money Management for each of the last eleven years (firms with more than 1,000 employees). Visit www.nb.com for more information. Data as of March 31, 2025.
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Contacts
John Barrett, Chief Development Officer
jbarrett@espassociates.com
(248) 593-6871