Case Study: Star Equity Acquires ADT Advised by Woodbridge

“As part of the Star platform, ADT will be able to accelerate its growth by making strategic investments to meet rising demand for its services, expand its operational capacity, and generate substantial top- and bottom-line growth for our shareholders.”

Jeff Eberwein, Executive Chairman, Star Equity Holdings

Axial Members

Member Type	Holding Company	M&A Advisory Firm
Axial Member Since	2023	2010
Headquarters	Greenwich, CT	New Haven, CT
Axial Closed Deals	1	1
Axial Profile	View Profile	View Profile

The Business

Location: Evanston, WY

Description: Alliance Drilling Tools, LLC (“ADT”)  is a drilling equipment supply and repair company involved in the rental, sales, repair of downhole tools used in the oil and gas, geothermal, mining, and water-well industries. Alliance Drilling Tools was incorporated in 2009 in response to a perceived need for a full service downhole tool company with a comprehensive inventory of tools and a conscientious and knowledgeable support staff. Today, the business operates in Evanston and Casper (both in Wyoming), Vernal, UT and Midland, TX. 

Bruce McGovern, President and Founder of ADT: “We are thrilled to partner with Star to lead ADT into its next phase of growth. Star has the resources and platform to build upon the success the ADT team has achieved together over the past 16 years. This is a fantastic outcome for our dedicated, hard-working employees, valued customers, and the company as a whole.”

Website  |  LinkedIn

Star Equity Holdings (“Star”) is a publicly traded diversified holding company currently composed of three business divisions: Building Solutions, Energy Services, and Investments. The firm is looking to acquire businesses with $10-50M in revenue and >$2M EBITDA. There are currently four (4) operating businesses in the Star portfolio alongside real estate, public, and private investments.

After joining the Axial platform in mid-2023, Star began sourcing businesses across each of their desired verticals. Within eight months, Star came across ADT under the project headline “Downhole Drilling Tool Rental Company”. The business had been shared by Stephanie Adams of Woodbridge International, a long-time Axial member having joined in 2010.

Star signed an LOI four months after initially pursuing the deal and was excited to see what a high-quality business they had uncovered. For the full-year 2024, ADT generated revenue of approximately $10.5 million, a gross margin of 48%, and an adjusted EBITDA of $2.4 million. Its business model allows for the majority of costs, such as freight, repairs, and damages, to be passed directly to customers, which minimizes ADT’s operational expenses, capex, and risk exposure.

After a six-month deal process, Star acquired ADT in March 2025. The acquisition not only expanded Star’s operating portfolio with the addition of its Energy Services division, but it diversified its operating business portfolio and established a scalable growth platform for the firm.

Axial Deal Data