HFW Achieves Milestone with 10th Acquisition of Partner Firm
Deal News | May 08, 2025 | Veronis Suhler Stevenson LLC
VSS Capital Partners, a seasoned lower middle market-focused private investment firm, recently celebrated a milestone with their portfolio company, The HFW Companies. HFW successfully completed its acquisition of Southwest Engineers, a Texas-based civil engineering firm, marking its tenth strategic partner firm acquisition. This acquisition will extend HFW's outreach within the architecture and engineering industry, allowing further expansion into high-growth, resilient specialty services. HFW maintains its distinctive 'house of brands' model, which enables acquired companies to sustain individual branding, while benefiting from collective resources such as HR management and cross-selling provided by HFW's comprehensive platform. Since VSS partnered with HFW in 2021, the company has scaled notably with 500+ employees and substantial revenue growth through organic and M&A activities. As beneficiaries of VSS’s flexible capital solutions, HFW aims to fortify its foothold in high-growth U.S. regions while maintaining a customer base across various sectors, solidifying its status as a preferred acquirer in a fragmented market.
Sectors
- Architecture and Engineering (AE)
- Private Equity
Geography
- United States – HFW and Southwest Engineers operate within the U.S., and HFW aims to expand within high-growth regions of the country.
- Texas – Southwest Engineers, the newly acquired partner firm by HFW, is based in Texas which highlights the regional expansion within the state.
Industry
- Architecture and Engineering (AE) – The article discusses the acquisition by HFW, a company operating in the Architecture and Engineering sector, aiming to expand its platform within this industry.
- Private Equity – VSS Capital Partners is highlighted as a private equity firm sponsoring the growth of HFW through strategic investments and acquisitions.
Financials
- Not disclosed – The financial terms of HFW's acquisition of Southwest Engineers were not disclosed.
Participants
Name | Role | Type | Description |
---|---|---|---|
VSS Capital Partners | Private Equity Firm and Investor | Company | A private investment firm based in New York, providing flexible capital solutions for growth, recapitalizations, and acquisitions. |
The HFW Companies | Acquirer and Target Company | Company | An AE professional services company focused on acquiring and supporting growth in architecture and engineering firms. |
Southwest Engineers | Acquired Company | Company | A Texas-based civil engineering firm specializing in wastewater treatment and water storage. |
UB Greensfelder | Legal Advisor | Company | Provided legal advisory services to HFW for the acquisition. |