Introduction
In 2023, Greenwich saw an opportunity to make a strategic investment in 24/7 Fuels, a fast-growing onsite refuelling business that was shaking up the Sydney market. The move marked Greenwich’s first investment into industrial distribution and logistics, setting the stage for 24/7 Fuels’ next chapter of accelerated growth. This case study breaks down the investment, explores the benefit of establishing joint ventures, and highlights the growth bringing on an equity partner can unlock.
The Opportunity – Powering Critical Infrastructure
24/7 Fuels had earned a stellar reputation in the competitive Sydney market by delivering fuel directly to equipment, wherever and whenever it was needed. Greenwich saw a business that was more than just a fuel supplier; it was a critical partner to its clients, competing on service and reliability. Greenwich also recognised a few key strengths that made it a compelling investment:
An Essential Service
24/7 Fuels operates in a market immune to whims. Infrastructure needs fuel. This provides a stable, predictable revenue base.
A Unique Edge
The company built its reputation on handling the tough jobs—urgent, after-hours calls and smaller, complex deliveries that larger players often ignore. Their specialised fleet of compact trucks could get into tight spaces on busy worksites, a crucial and practical advantage.
Ready to Scale
The business model was solid and ready for expansion. The potential to grow beyond Sydney and diversify its services, like providing self-bunded diesel storage tanks, was clear.
The Founders’ Perspective
After years of dedicated effort building 24/7 Fuels from the ground up, the founders had reached a pivotal moment. They had created a highly successful and reputable business and were beginning to plan for their future. While achieving an excellent valuation for their hard work was a key objective, their desired outcome didn’t just center around a strong financial return.
For the founders, this was about more than a transaction; it was about protecting their legacy. They had cultivated a loyal team and built a brand synonymous with trust and reliability. The priority was to find a partner who wouldn’t just acquire the company’s assets, but would also respect its culture and champion its future growth. They needed a custodian for the business they had poured their lives into.
The proposal from Greenwich, in partnership with Conplant, presented the perfect solution. It offered not only the value sought, but critically, a strategic vision for growth. Greenwich’s intention wasn’t to strip the business for parts; it was a commitment to invest in the brand, empower the existing team, and expand on the founders’ success. This alignment ensured that the legacy of 24/7 Fuels would be protected and enhanced for years to come.
The Partnership
What made this deal truly stand out was its structure.Greenwich brought in a strategic joint venture partner, Conplant. As a respected compaction equipment specialist with over 60 years experience, Conplant lives and breathes the construction sector.
The partnership created a perfect alignment of skills:
- Greenwich brought the strategic vision and the capital. Greenwich’s team provides the high-level financial and governance expertise needed to steer the company’s growth.
- Conplant brought the ground-level operational genius. Their deep knowledge of heavy equipment, logistics, and customer needs offered an immediate and practical boost to 24/7 Fuels’ daily operations.
- 24/7 Fuels provided the proven business model and the entrepreneurial drive that had already made the company a success.
The partnership provided a powerful combination of strategy, operational know-how, and market knowledge.
The Investment Rationale – Fuelling the Next Phase
Greenwich’s decision to invest was supported by a clear and strong business case. Greenwich saw a company at a turning point, holding massive potential that the right mix of capital and strategic support could unleash.
The key reasons for the investment boiled down to this:
- Positive Industry Trends: With public and private investment pouring into Australian infrastructure and construction, the demand for essential services like those from 24/7 Fuels is on a steady rise.
- A Base for Expansion: The onsite refuelling market is fragmented, full of smaller players. Greenwich continues to support 247 in assessing inorganic opportunities to grow revenue.
- Room to Improve: While already a strong business, there were clear opportunities to enhance efficiency. Investing in new technology, optimising the fleet, and refining processes would make a great company even better.
- The Right People: Crucially, there was a strong cultural fit. All three partners shared the same vision for long-term, sustainable growth built on the back of outstanding customer service.
The Value Add
Greenwich and Conplant are not silent partners. Their involvement is hands-on, providing active support to the 24/7 Fuels leadership in several key areas:
- Strategy: Working together to map out a long-term growth plan, from exploring new markets to adding new services.
- Capital: Injecting the funds needed to invest in new trucks, technology, and equipment to power the company’s expansion.
- Technology: Identification, selection and implementation of a new ERP system to enhance, simplify and streamline business operations and reporting, replacing the incumbent outdated and disjointed software.
- Operations: Using Conplant’s expertise to fine-tune everything from fleet management to maintenance, driving down costs and improving service.
- Networking: Opening doors by using their extensive contacts to introduce 24/7 Fuels to new customers and strategic allies.
- Governance: Establishing professional corporate governance and financial reporting to ensure the business is built to last.
The Outcome
The investment from Greenwich and the partnership with Conplant has put 24/7 Fuels on a powerful new trajectory, with the benefits of the collaboration becoming clear almost immediately. Since investment, 247 Fuels has increased its fleet by 40%, developed a robust operator and back office capability, implemented their new ERP system and won significant contracts, providing dominance in certain sub-markets. 247 Fuels’ is now positioned for scalable growth into new markets.
The 24/7 Fuels investment is a prime example of Greenwich Capital’s approach: finding high-quality Australian businesses and partnering with them to create genuine market leaders.
