Written on: September 17, 2023
NEW MILFORD, Conn. –
Cetane Associates (“Cetane”) is pleased to announce that Eastern Propane Gas, Inc. (Eastern Propane), a New Hampshire corporation, has acquired the business assets of R. B. Sahagen, Inc. DBA Blue Flame Gas Company (Blue Flame), headquartered in Rangeley, Maine. Blue Flame is a full-service propane sales, delivery, and appliance business which also owns and operates a retail store offering a wide range of products for the home. The transaction was completed on August 29, 2023.
With expertise in the propane industry, Robert and Jeannine Sahagen established Blue Flame in 1998. From their initial home-based operations, they grew the business to include a bulk plant that houses an office, vehicle-repair and inventory space, and a 30,000-gallon storage tank. After extensive on-the-job training, the Sahagen’s son Aaron Vryhof and his wife Meagan Vryhof took on leadership roles and joined Robert and Jeannine as owners in 2008. Blue Flame grew by acquisition of a local competitor, Rangeley Propane, and a stove shop, Rangeley Fireplace & Stove Co. Growth continued for the company while building relationships with builders and contractors in northeast New England. By putting their customers first, Blue Flame is now the primary propane business serving residential and commercial customers in and around Franklin, Oxford, and Somerset Counties, Maine. Co-owner Robert Sahagen comments, “Building Blue Flame Gas has been a united family effort to guarantee our customers get the best service possible. We know Eastern Propane will carry on this legacy well.” Co-owner Meagan Vryhof states, “We don’t know how we could have made it through this process without the amazing and constant support of the Cetane team. We put our faith in the right team.”
Eastern Propane is a fourth-generation family business established in Danvers, Mass. in 1932. Under the leadership of the Clement family, the business evolved from a hardware store to selling bottled gas under the name Country Gas Distributors and expanded to become a four-state LP gas retailer and wholesaler in 1969, when the business was renamed to Eastern Propane. Their growth has been enhanced by providing the same reliable and customer-friendly service the Clements envisioned in the 1930s. President and co-owner Chuck Clement III comments, “We are pleased to welcome the Blue Flame Gas Company team to Eastern. Their customer service focus is a perfect fit with ours. We look forward to having their employees join the Eastern family.” He added, “We enjoyed working with Tamera Kovacs and the Cetane team on this project. Their expertise and support was appreciated.”
Tamera Kovacs, Director at Cetane Associates, said, “Working with the Sahagen and Vryhof families was a pleasure. They’ve built a successful business through their professionalism and smart business practices. I wish them well as they enter their next chapter.”
Cetane served as the sole arranger to Blue Flame. Cetane advised on the sale, including an initial valuation opinion, marketing the business through a confidential process, assisting in negotiating the final deal terms, and coordinating the due diligence process. The transaction was managed by team members Tamera Kovacs, Fred Lord, Duncan McMurchie, and Dalton Brooks.
About Cetane Associates
Cetane is a leading provider of financial advisory services to business owners in home services industries. Clients engage Cetane to advise on sales, spin-offs, and acquisitions, as well as perform valuation and ad hoc corporate finance assignments. For more information, please visit www.Cetane.com.