Cetane Associates (Cetane)announced that Sail Energy LLC, of Portsmouth, New Hampshire, has acquired the assets related to the full-service propane and heating oil delivery and HVAC business of Tower Energy LLC and its affiliates located in Plainville, Connecticut. The transaction closed on Feb. 1, 2023.
In 2004, Tower Energy was founded by Nicholas Scata, who purchased separate entities Tower Energy and Plainville Oil Company. Over the next six years, Scata focused on operating synergies within the companies and grew the companies organically while meeting the community's demands, including offering propane fuel delivery services in 2010. In 2013, the two companies were officially merged to provide the best service to their residential and light commercial customers. A few years later, Greco Energy and Barrieau Oil completed the slate of Tower Energy’s acquisitions. Today, Tower Energy is considered a premier home comfort provider with a reputation for delivering exceptional service to the market in north-central Connecticut.
President Scata commented, “Our strong emphasis on excellence in delivery and service to our loyal customers matches well with Sail Energy’s business culture. We’re happy to have completed this successful transaction.” And, he added, “Working with Fred Lord and the entire Cetane team made this transaction seamless from beginning to end — I strongly recommend them.”
Since 2014, Sail Energy has operated in the energy distribution market, growing its market through targeted acquisitions and integrated roll-ups. Sail Energy now serves over 35,000 customers in five New England states, New York, and Pennsylvania.
Dennis O’Brien, president and CEO of Sail Energy, said, “We are pleased to bring Tower Energy into the Sail Energy group. Their well-known local reputation is a great fit with our guiding principles. We look forward to welcoming the Tower Energy team. Thanks go to John Tolan as Sail Energy’s project leader in the acquisition, and the Cetane Associates team for their assistance through this process.”
Fred Lord, director at Cetane Associates, stated, “It was a pleasure working with Nick and the Sail Energy team throughout this transaction. Nick and his partner, Gerry Greco, and their entire team have built a terrific business. I congratulate them on this significant transition.”
Cetane served as the sole arranger and financial advisor to Tower Energy. Cetane advised on the sale, including an initial valuation opinion, marketing the business through a confidential process, assisting in negotiating the final deal terms, and coordinating the due diligence process. Team members Fred Lord, Barrett Conway and Steve Abbate managed the transaction.