Advised in the Acquisition of
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Buffalo, MO

TIMEC acquires high-temperature repair, inspection service provider HRI

TIMEC Operating Co. Inc. (TIMEC) has acquired HRI Inc., an expert provider of critical maintenance services in ultra hightemperature and confined space environments to the heavy industry, for $5 million plus an earn-out.

HRI owns the patent on special super heat resistant suits that facilitate safe industrial repair and inspection work in workplaces that reach up to 1,300 degrees F. The multilayered suits are made from Kevlar and carbon fiber with an aluminum coating, and have built-in communications systems, fully filtered external air supplies and internal air-cooling systems.

“This acquisition is a significant strategic step, as it will broaden our direct service offerings and take our business into more than 10 new states in the United States,” said TIMEC President and CEO Pat McMahon.

“Use of the suit enables quicker response times, and will create opportunities to expand into new industries and appeal to our existing clients because of the efficiency savings it offers,” McMahon added.

HRI is a strongly performing business with high customer retention rates and an average organic growth rate of 10 percent during the past five years. The company was acquired at a historical EBITDA multiple of 5.5. The acquisition will be funded out of existing debt facilities.

More than 85 percent of HRI’s customers are in the power-generation, steel producing or oil refining segments across the United States. Many have used the company’s services since it was set up in 1993. HRI’s key customers include companies such as Shell, ExxonMobil, ConocoPhillips and Valero.

HRI will continue to operate as a wholly owned subsidiary with its existing management team.

HRI President Roger Rankin, who will report through operations to McMahon, said 75 percent of HRI’s work involves emergency response work on plants and equipment, where clients would otherwise have to cool down equipment over a period of time to gain access for repairs.

“Because HRI’s systems, processes and super heat resistant suits allow work to be completed at higher temperatures, we can reduce plant downtime and offer significant savings to our customers,” said Rankin. TIMEC is a leading global provider of maintenance, turnaround and construction services in a diverse range of industries including oil and natural gas, petrochemical, water and wastewater, and food, among others. TIMEC, jointly with its parent company Transfield Services, has more than 20,000 employees, working across the United States, Canada, Australia, New Zealand, the United Arab Emirates, Qatar, South East Asia and India.

IVS Investment Banking was the exclusive advisor to HRI.

“BIC Alliance has handled our marketing effectively for more than six years, so I was familiar with IVS Investment Banking as BIC’s sister company,” said Curt Rankin, HRI secretary and treasurer. “I knew that they were plugged into what’s going on in the business, so we contacted them confidentially to find us a buyer-investor. After evaluating our company’s financial position, IVS suggested strongly that a strategic investor might be the best transaction partner and connected HRI with TIMEC.

“Besides actually locating the buyer, it was definitely beneficial to have a group representing us through the process,” said Curt. “They did a nice job in navigating when we were not sure what direction to take. They definitively helped keep the progress moving toward a successful close. I would recommend IVS Investment Banking to anyone in the industrial arena considering selling a company, or just looking for an investor.”

For more information on HRI, call (888) 390-8255 or visit

If you are interested in selling, investing in or buying companies in the industrial and energy services sectors, please contact Thomas Brinsko at (281) 538-9996 or

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