SPATCO Energy Solutions Accelerates Texas Growth with Strategic Acquisition of Excell Fueling Systems

SPATCO Energy Solutions, supported by private equity firm Kian Capital, has completed the acquisition of Excell Fueling Systems, marking a key step in its national expansion strategy. The transaction reinforces SPATCO’s presence in Texas while broadening its service offering across fueling infrastructure, environmental compliance, and EV-charging support.

Deal Summary

Acquirer: SPATCO Energy Solutions, a turnkey infrastructure services business serving petroleum, environmental, and EV markets.

Investor backing: Kian Capital, a lower-middle-market private equity firm focused on services, distribution, and growth platforms.

Target: Excell Fueling Systems, founded in 1993 and based in Buda, Texas, specializing in fueling system installation, testing, and maintenance for commercial clients including fleets, hospitals, airports, and municipalities.

Geographic Footprint: Excell serves markets around Austin, San Antonio, and Dallas. The acquisition deepens SPATCO’s Texas operations.

Strategic Purpose: The deal adds commercial-fueling infrastructure capabilities to SPATCO’s existing installation, service, and environmental compliance offerings in Texas, enabling full-suite service delivery in the state.

M&A Momentum: This is SPATCO’s fourth acquisition since July 2024, evidencing a rapid build-out of its service platform.

Industry Context

The infrastructure services market - especially in fueling, environmental compliance, and EV-charging ecosystems - is experiencing a wave of consolidation. Companies like SPATCO are acquiring specialized regional businesses such as Excell to build scale, diversify service lines, and capture growth tied to energy transition and regulatory compliance. The fueling infrastructure segment is driven by legacy petroleum site upgrades, EV roll-out, and municipal-fleet conversions - providing a compelling backdrop for roll-up transactions.

In Texas, a high-growth state with substantial industrial, commercial, and energy infrastructure demand, a platform approach makes sense. SPATCO is leveraging the acquisition of Excell to move from installation-focused work toward full lifecycle servicing, maintenance, and compliance engagements - an evolution that increases recurring revenue and customer‐stickiness.

Lower-Middle-Market Roll-Up Perspective

From a roll-up strategy standpoint, several patterns stand out:

• Platform extension via tuck-ins: SPATCO is layering acquisitions across geographies and service lines rather than building solely through organic investment. Excell complements SPATCO’s broader national footprint.
• Service line breadth increase: The acquisition enables SPATCO to extend into commercial fueling infrastructure - a niche adjacent to its existing petroleum equipment business - demonstrating the adjacent expansion strategy common in lower-middle-market roll-ups.
• Founder/legacy business integration: Excell brings established teams and certifications (HUB-certified, licensed testing staff) which SPATCO can integrate into its broader operating model rather than replacing key talent.
• Investor-backed growth cadence: With Kian Capital providing capital and guidance, SPATCO is executing a growth-accelerated M&A strategy that relies on multiple acquisitions within a short timeframe.
• Geographic focus on high-addressable markets: Texas serves as a growth engine. Platforms targeting states with regulatory tailwinds, infrastructure spend, and EV build-out often succeed in this space.

Why This Sector Is Attractive for Roll-Ups

• Infrastructure demand surge: The fueling infrastructure market is expanding as fleets, airports, and municipalities invest in upgrades and EV integration.
• Fragmented service provider market: Many regional fueling system firms serve local territories; national platforms can consolidate them, drive operational improvements, and cross-sell services.
• Recurring maintenance opportunity: Beyond installation, the service and maintenance side of fueling infrastructure offers recurring revenue potential - a key value driver for roll-ups.
• Investor readiness: Private equity firms are actively backing service-platform consolidation in infrastructure sectors, seeing them as stable growth plays with strong tailwinds.

Conclusion

The acquisition of Excell Fueling Systems by SPATCO Energy Solutions represents a clear example of how an infrastructure services platform is scaling via strategic tuck-ins, investor backing, and geographic expansion. For operators in regional infrastructure services, this deal highlights the window of opportunity to partner with or be acquired by larger platforms. For investors, it confirms the attractiveness of service businesses adjacent to energy, fueling, and EV infrastructure. Finally, for the broader market, it underscores how consolidation is accelerating in sectors where regulation, high technical barriers, and recurring service flows converge.