MFG Partners (“MFG”), a New York-based private equity firm focused on investing in family, founder, and management-owned industrial companies, announced today that its portfolio company, CST Utilities (“CST”), has acquired Daystar Directional Drilling (“Daystar”).
CST, founded in 1969 and headquartered in Grove City, OH, is a turnkey infrastructure service company providing a range of complementary underground services including excavation, boring, drain cleaning, and other pumping services to public utilities, telecom providers, and other businesses.
This strategic acquisition marks a significant expansion of CST’s Midwest footprint and service offerings, and reinforces its commitment to partnering with high quality, client focused utility service providers throughout the Midwest. Daystar and CST will meld the best practices of both businesses into the leading underground utility services provider across the Midwest.
“We’re excited to supplement CST Utilities’ geographic reach and service offering by acquiring Daystar Directional Drilling,” said Jeff Mizrahi, Partner at MFG Partners. “Daystar’s strong reputation and customer-focused approach align perfectly with CST’s mission and growth strategy. This is a great step forward in building a leading utility services platform in the Midwest.”
“We are very pleased to be joining forces with the team at Daystar,” said Steven Besse, President, and Chief Executive Officer of CST Utilities. “The team and focus on client satisfaction that Jerry Watson III and his family have built into the culture of Daystar will be a perfect fit for CST’s customer-first approach to business.”
“I am excited to see Daystar merge with CST. This will provide our employees and customers with a stronger team that will benefit all,” Jerry Watson III, President of Daystar Directional Drilling, added. “There is so much opportunity for high quality companies like ours to leverage as we serve our clients and create a great workplace for our employees.”
Founder Jerry Watson III will remain with the company as the leader of the Indiana operation and maintain an ownership stake in the combined companies. The team will continue to operate out of the firm’s Noblesville, IN office and yard.
About CST Utilities
CST Utilities is an Ohio-based infrastructure service company providing a range of excavation, underground, and maintenance services to public utilities (electric, natural gas, water), telecom providers, and other businesses. With over 50 years of industry experience, CST has established itself as a professional and reliable local business serving Central Ohio and surrounding counties. For more information, go to https://www.cstutilities.com/.
About Daystar Directional Drilling
Based in Noblesville, IN, Daystar has been serving central Indiana since 2002, providing underground utility services with a specialty in Horizontal Directional Drilling. For more information, go to https://www.daystardrilling.com
About MFG Partners
MFG Partners is a private equity firm that makes control investments in family, founder, and management-owned industrial, manufacturing, distribution, and business-to-business services companies in North America. The firm was founded in 2016 by Jeff Mizrahi and Jonathan Schilowitz and is headquartered in New York City. For more information, go to https://www.mfgpartners.com
