Benchmark Analytics acquired by 3Stone Advisors
CENTER VALLEY, PA, May 22, 2007 -- Benchmark Analytics, a leading provider of water testing services, has announced its partnership with 3Stone Advisors LLC and a group of internal managers. Based south of Allentown, PA, Benchmark is a laboratory company with a successful track record built on an exclusive focus on the testing of drinking water and wastewater required on a repetitive basis by state-issued permits. The company serves several hundred municipal and industrial organizations in eastern Pennsylvania and adjacent areas of New York and New Jersey.
With the acquisition of a controlling interest in Benchmark, 3Stone substantiates its position in this market and further pursues its strategic interest in the water industry. Joining 3Stone as investors are: Stephanie Olexa, founder and former sole owner of Benchmark; Graham Russell, a long-time executive in the environmental laboratory industry and several members of Benchmark's senior management team.
Christoph Lueneburger, leader of 3Stone's water practice, said, "We believe the water quality monitoring segment of the environmental testing industry is ready for major change. It has long been governed by hundreds of small laboratory companies, most of which are struggling to meet the increasingly stringent technical and compliance requirements imposed on their customers by state and federal regulators. Benchmark has built an outstanding reputation for technical excellence and customer service in its existing market territory and we look forward to leveraging the strengths of the company and its proven leadership team to expand into new market areas."
Dr. Olexa, who will continue to head the operations of Benchmark, is excited about the partnership with 3Stone. "We have long recognized the extraordinary opportunity in compliance-related water monitoring services and are excited to have formed a partnership with 3Stone. We believe their capital resources, demonstrated focus on water, and practical management experience will allow us to expand our business at a rate we could not have achieved on our own."
The new organization, Benchmark Analytics Inc., will pursue a dual-pronged growth strategy, comprised of both acquisitions and expanded marketing strategies in segments it already serves.
Based in Columbus, OH, 3Stone is the general partner of the 3Stone Inflection Fund LLC, a dedicated private equity fund with an investment practice focused on water. An affiliate of Stonehenge Partners, a mezzanine and private equity house managing funds totaling $475 million, 3Stone has secured $100 million in 2006 and is currently raising a second round of capital.
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