Acquisition by Quanta Followed Exit of Key Infrasource Investor
The exit of Infrasource Inc.'s private equity investor last year planted the seeds of the March 19th announcement of Quanta Services Inc.’s acquisition of Infrasource, an all-stock transaction valued at $1.26 billion.
GFI Energy Ventures/Oaktree Capital Management, which invested $280 million in Infrasource in 2002, cashed out its position in two secondary stock offerings last year. “We reached the end of the equity investor horizon about a year ago and started to explore strategic offerings,” says David R. Helwig, chief executive of Infrasource. “After an exhaustive review we concluded that the deal structure as is gives investors upside premium and provides for the participation” in future upside as Quanta shareholders.