Over the course of six years, Blue Sage Capital worked tirelessly to turn its $8.9 million investment in Controlled Recovery Inc. (CRI) into a grand slam exit. The Austin-based private equity firm's work paid off-Blue Sage made 63 times its money on the original investment and achieved an internal rate of return (IRR) of 150 percent when it completely exited the investment in October 2012. At that point, Blue Sage sold the company, known as R360 Environmental Solutions Inc., to Waste Connection for a whopping $1.3 billion. However, the end result didn't happen overnight or come easily.
In 2006, Blue Sage bought CRI, which focuses primarily on disposing of oil-related solid waste generated from drilling activity in Western Texas.