Key Takeaways
- • L Squared Capital Partners acquired Edko, a Bossier City, Louisiana herbicidal vegetation management company, from Incline Equity Partners, marking the first investment out of L Squared's Fund V.
- • L Squared's Fund V closed at its $2 billion hard cap in April 2026 in a single oversubscribed close, more than double the $840 million raised by Fund IV in November 2023.
- • Edko serves more than 85 utilities, manages more than 70,000 miles of utility right-of-way annually, and operates 36 branches across 30 states.
- • Demand for utility vegetation management is largely regulation-driven, with the US market valued at about $8.4 billion in 2024 and projected to reach $18.6 billion by 2032 at a 10.6% CAGR, according to Fortune Business Insights.
- • Incline nearly quadrupled Edko's revenue during its June 2021 to 2026 ownership through organic growth and three acquisitions, per managing director Victor Martinelli.
Summary
L Squared Capital Partners has acquired Edko, a provider of herbicide-based vegetation management for power lines, pipelines and other critical infrastructure, from Incline Equity Partners. The transaction is L Squared's first investment from Fund V, which closed at its $2 billion hard cap in April 2026, according to the firm's description in the source article. L Squared targets North American companies with enterprise values of $50 million to more than $800 million and EBITDA of $5 million to more than $50 million, and it typically takes majority positions in buyouts, recapitalizations and founder liquidity events.
Edko, founded in 1961 by Max Edwards in northwest Louisiana, began by clearing vegetation for oil and gas operators. It now operates from 36 branch locations serving customers in 30 states and is led by CEO Jason Sellers. Its core services include bareground treatments for substations and tank farms, foliar sprays and basal treatments for rights-of-way, and tree growth regulators, which the company says have been applied to more than 3 million trees. Its SafeTrim chemical trimming service, applied from the ground or by drone through the in-house Himmel UAV program, is described by the company as first to market with drone-based tree trimming in 2015. Edko's customers include electric utilities, pipeline and refinery operators, oil and gas producers, and solar and wind farms.
During Incline's ownership, which began in June 2021 when Edko operated 14 branches in 25 states, Edko completed three acquisitions and launched five adjacent services. Incline's Victor Martinelli said Edko nearly quadrupled revenue over the partnership. Twin Brook Capital Partners provided debt financing for the 2021 buyout. Ares Capital Management and BMO Bank provided debt financing for the current transaction. Stout advised L Squared, while Piper Sandler and Stifel advised Edko.
Demand for the sector is largely set by regulation. The NERC FAC-003 standard requires transmission line owners to keep vegetation at safe distances, and the sector is fragmented among regional operators and national contractors including Asplundh, Davey Tree and Wright Tree Service. Sean Barrette, managing partner at L Squared, described Edko as the "natural consolidator" in a highly fragmented market and said the firm plans to support growth through acquisitions, geographic expansion and investment in workforce and equipment.
Edko, founded in 1961 by Max Edwards in northwest Louisiana, began by clearing vegetation for oil and gas operators. It now operates from 36 branch locations serving customers in 30 states and is led by CEO Jason Sellers. Its core services include bareground treatments for substations and tank farms, foliar sprays and basal treatments for rights-of-way, and tree growth regulators, which the company says have been applied to more than 3 million trees. Its SafeTrim chemical trimming service, applied from the ground or by drone through the in-house Himmel UAV program, is described by the company as first to market with drone-based tree trimming in 2015. Edko's customers include electric utilities, pipeline and refinery operators, oil and gas producers, and solar and wind farms.
During Incline's ownership, which began in June 2021 when Edko operated 14 branches in 25 states, Edko completed three acquisitions and launched five adjacent services. Incline's Victor Martinelli said Edko nearly quadrupled revenue over the partnership. Twin Brook Capital Partners provided debt financing for the 2021 buyout. Ares Capital Management and BMO Bank provided debt financing for the current transaction. Stout advised L Squared, while Piper Sandler and Stifel advised Edko.
Demand for the sector is largely set by regulation. The NERC FAC-003 standard requires transmission line owners to keep vegetation at safe distances, and the sector is fragmented among regional operators and national contractors including Asplundh, Davey Tree and Wright Tree Service. Sean Barrette, managing partner at L Squared, described Edko as the "natural consolidator" in a highly fragmented market and said the firm plans to support growth through acquisitions, geographic expansion and investment in workforce and equipment.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.