Integrated Pipeline Services Inc. (IPS) recently announced that it has completed the acquisition of Sheehan Pipe Line Construction Co., a leading provider of pipeline construction and maintenance services. Terms of the investment were not disclosed. Sheehan will remain based in Tulsa, Okla.
“This is a terrific opportunity for us,” said David Sheehan, long-time CEO of Sheehan and great grandson of the company’s founder. “The relationship with IPS and IPS’s financial backer, prominent energy investor GFI Energy Ventures, gives us substantial added capital, resources, and expertise allowing us to expand our service offerings and further serve our customers. With the current energy market trends and the financial and operational backing of IPS and GFI, we see an exciting, growth-oriented future for our company.”
Sheehan will remain CEO of Sheehan Pipe Line Construction Co. and will also join the IPS board of directors. Rob Riess, current president and COO of Sheehan Pipe Line Construction Co., and Kent Schobe, vice president of engineering, will continue in their respective roles with the company as will the rest of the senior management team. Sheehan, Riess and Schobe will hold a significant ownership interest in IPS.
“We are pleased to partner with Sheehan and play a role in supporting the company’s next phase of substantial growth in revenues and profitability,” said John Allcorn, CEO of Integrated Pipeline Services.
GFI Energy Ventures’ partner Ian Schapiro stated that “Sheehan’s reputation for high-quality construction, safety and responsive customer service makes it an excellent platform to capitalize on opportunities in the industry. Growing demand for energy infrastructure and new energy supply sources have created an environment in which we believe Sheehan will prosper. For these and other reasons, GFI is delighted to add Sheehan to the IPS family of companies.”
In addition to the Sheehan transaction, IPS also announced the formation of IPS Engineering LLC (IPS EPC). IPS EPC will offer a full range of engineering, procurement and other professional services to complement IPS’s construction subsidiaries and allow for responsive and high-quality turnkey engineering, procurement and construction service offerings for their clients. IPS EPC will be managed by Curt Simkin, Bryan Moses and Tom Alexander, bringing more than a combined 80 years of experience in the pipeline and energy services sector to IPS. IPS EPC will be headquartered in Tulsa, Okla. and co-located in the Sheehan office building to allow for seamless integration of EPC services.