Houston-based Integrated Utility Services has closed on the purchase of substantially all assets of Paragon Industries, the longtime Sapulpa, Oklahoma steel-pipe maker, through a Chapter 11 sale and will run the business as Paragon Pipe Company, LLC. The buyer says it plans to pour new investment into the Sapulpa plant, upgrade manufacturing systems and restart production to serve energy, utility and infrastructure customers across North America. The deal followed an extended, court-supervised auction and was formally logged in bankruptcy filings earlier this week.
IUS frames the deal as a supply-chain rescue
Integrated Utility Services is pitching the acquisition as a rescue of a domestic manufacturer, saying it will bring both capital and operational expertise to get Paragon's Sapulpa factory humming again, according to a company press release. IUS co-founder Trinity Dawson said, "As someone who grew up in Oklahoma, this acquisition is deeply personal to me," emphasizing plans to protect jobs while modernizing the operation. The company also credited Infinity Capital Partners as its investment banking advisor and GableGotwals as legal counsel, as reported by Business Wire.
Competitive auction produced a $40 million winning bid
Court summaries and sale motions describe a competitive auction process that produced a $40 million winning bid from IUS. The auction reportedly dragged on for nearly 17 hours, with multiple qualified bidders in the mix before IUS came out on top, according to Stretto. That account notes that the purchaser posted a $2.5 million good-faith deposit and that the deal is still subject to financing and customary closing conditions.
Paragon's bankruptcy file and local footprint
Paragon Industries filed a voluntary Chapter 11 petition on May 21, 2025, and has been operating as a debtor-in-possession while the sale played out, according to court records. The company runs a steel-pipe manufacturing plant in Sapulpa that supplies OCTG and line-pipe products for energy and infrastructure customers. IUS says the business will keep operating in Oklahoma under the Paragon Pipe Company name, as reported by CityBiz. A report of the sale closing was filed in the bankruptcy docket on July 14, 2026, according to Inforuptcy.
Outstanding legal questions and next steps
Court summaries flag a disputed sublease and ownership claim at the Port of Muskogee that could leave certain equipment and assets outside the sale, and the asset purchase agreement includes environmental disclaimers for property sold "as-is." As Stretto reports, the buyer's obligation to close is tied to securing financing and either resolving or carving out contested assets, so pieces of Paragon's operations may stay wrapped up in litigation even after the transaction. Creditors and other stakeholders are expected back in court later this summer as judges sort through the remaining disputes.
IUS says it will focus first on safely restarting production and upgrading manufacturing operations while keeping the company's Oklahoma roots intact, and it lists its corporate headquarters in Houston. Company materials are available on the IUS website, and local business coverage offers additional context; see IUS and CityBiz.
