Texas Water Crisis Spurs Bold Move: Coltala Acquires 60-Year-Old Industry Leader Alsay

Key Takeaways

• Alsay, founded in 1960, is one of Texas’ largest water well drilling and service providers with over 40 years of industry experience.
• The acquisition aligns with Texas’ focus on sustainable infrastructure, addressing water challenges driven by rapid population growth.
• Coltala plans to leverage its enterprise system to scale Alsay’s impact and deliver lasting value to Texas communities.
• Financial backing from BankUnited and Gladstone Capital supports Coltala’s growth strategy and operational expansion.
• Alsay’s leadership and legacy position the company for continued success under Coltala’s mission-driven growth approach.

Coltala Holdings, a Texas-based private equity firm focused on scaling mission-critical service companies, announced the creation of Coltala Water Holdings through the acquisition of Alsay, Inc., one of Texas’ oldest and largest water well drilling and service providers. The announcement was made on August 27.

Addressing Texas’ growing water crisis

This strategic acquisition comes as Texas faces mounting water challenges driven by rapid population growth and increasing demand for reliable supplies. Governor Greg Abbott has prioritized long-term investments in sustainable infrastructure, and Coltala Water Holdings positions itself to support this mission.

Coltala leadership on the acquisition

“This is exactly the kind of company Coltala was built to support — legacy-rich, mission-critical, and positioned for smart growth,” said Ralph Manning, Co-Founder and Co-CEO of Coltala Holdings. “We’re bringing the Coltala Enterprise System to help scale Alsay’s impact and deliver lasting value to Texas communities.”

“We’re proud to welcome Alsay into the Coltala family,” said Edward Crawford, Co-Founder and Co-CEO of Coltala. “As a Navy veteran and former Peace Corps member, I know how essential water is to community resilience. This investment reflects our commitment to building great American companies that serve people and protect vital infrastructure.”

Financial partners and growth backing

The acquisition was supported by BankUnited as senior lender and Gladstone Capital, represented by Eric Maloy of Dallas, which provided mezzanine financing and an equity co-investment. “We are thrilled to partner with Coltala, whose disciplined investment and operating model — combined with a seasoned leadership team — uniquely positions the business to capture significant growth opportunities amid the rising demand for sustainable water solutions,” said Eric Maloy.

Backed by Lone Star Advisors (LSA) over the past five years, Alsay more than doubled in size and earnings, built a backlog exceeding $100 million, and achieved a 25% compound annual growth rate. “We are proud to partner with Coltala Holdings for the next phase of growth through our continuing investment and service on the Alsay Board of Directors,” said Arthur Hollingsworth, Managing Partner of LSA. “We are pleased to continue our involvement as Coltala leads the company into its next chapter.”

Alsay’s future with Coltala Water Holdings

Joe Slavik, President of Alsay, added: “Joining Coltala marks an exciting new chapter for Alsay. Their focus on operational excellence and purpose-driven growth aligns with our values and sets us up for continued success.”

Coltala Water Holdings extends the company’s “mission and margin” strategy of acquiring and scaling essential service businesses while creating jobs and long-term value. Coltala Holdings currently operates in more than 20 states across aerospace, healthcare, real estate, and now, water.