Written on: December 19, 2018 by ICM
Cetane Associates LLC announced that Sharpe Energy of Dover, Delaware, has acquired the propane business of R.F. Ohl of Lehighton PA.
R.F. Ohl, a family-owned and operated company founded in 1984, has been providing propane service to more than 2,500 residential and commercial customers in Carbon, Monroe, Northampton, Lehigh, and Schuylkill counties in Pennsylvania since 2003. Sharp Energy started providing propane service to the Pennsylvania community that same year and now serves more than 6,000 customers throughout the state.
Steve Ohl stated: “We made a strategic decision to sell our propane business and focus on our heating oil and HVAC business. Sharp was the perfect fit for us as they do not sell heating oil or provide HVAC service. It was great having Steve Abbate and Josh Wolf from Cetane Associates in our corner. They ran a great process and their expertise was invaluable. Jeff Simpson and Rashan Baskerville from Angus Financial also assisted us on our transaction team.”
Bob Zola, President of Sharpe Energy, Inc. commented: “We are excited to further expand our propane footprint throughout the Pennsylvania region and to continue our long-standing track record in meeting the energy needs of our customers.”
“This acquisition is a strategic fit for our family of businesses and will extend Sharp Energy’s reach to new customers, communities and businesses in Pennsylvania,” said Michael P. McMasters, President and Chief Executive Officer of Chesapeake Utilities Corporation. “We look forward to expanding our service in this community and continuing to deliver safe, reliable and affordable propane service throughout the region.”
Sharp Energy, headquartered in Georgetown, Delaware, distributes propane to approximately 39,000 residential, commercial and industrial customers in Maryland, Delaware, Virginia and Pennsylvania. With four rail facilities and over three million gallons of propane storage, Sharp Energy has established a solid supply portfolio. Sharp Energy is a proud partner of Alliance AutoGas, a national network of companies that have joined together to deliver a comprehensive alternative fueling solution including EPA-certified propane AutoGas vehicle conversions, on-site fueling infrastructure, fuel supply, safety and operational training, and ongoing technical support.
Cetane provided advisory services to the owners of R.F. Ohl included providing an initial valuation opinion; preparing marketing materials; marketing the business through a confidential, formal sale process; assisting in the evaluation of offers and the negotiation of final deal terms; and coordinating the due diligence process. The transaction was managed by Steve Abbate and Joshua Wolf.
