Arcosa, a provider of infrastructure-related products and solutions, has entered into a definitive agreement to sell its storage tanks business to Black Diamond Capital Management, a privately held alternative asset management firm with more than $9 billion in assets under management, for $275 million.
Established in 1933 and marketed under the Arcosa Tank and TATSA brands, the company’s storage tanks business is a manufacturer of steel pressure tanks for the storage and transportation of propane, ammonia and other gases serving the residential, commercial, energy and agricultural markets with operations in the United States and Mexico. Reported within the company’s Engineered Structures segment, revenues were approximately $200 million in 2021. Following the transaction, the company will continue to maintain a strategic manufacturing platform in Mexico, primarily supporting its Engineered Structures segment with the flexibility to manufacture other Arcosa products.