American Capital Ltd., a publicly traded private equity firm and global asset manager, announced that it received cash proceeds of $22 million in the first quarter of 2009 from the sale of Corrpro Companies Inc. Corrpro was sold to a wholly-owned subsidiary of Insituform Technologies Inc.
American Capital gained $6 million, as they originally invested $16 million in Corrpro in March 2004 to support its recapitalization by Wingate Partners. American Capital’s compounded annual rate of return, including interest, dividends, and fees earned over the life of the investment, was 21%. Proceeds received by American Capital were $0.5 million greater than the fourth quarter 2008 valuation of the investment.
Corrpro is headquartered in Medina, OH, and Houston, TX. It provides corrosion control engineering services and corrosion protection services relating to coatings, pipeline integrity, and reinforced concrete structures.