Business
Limbach Holdings Acquires Jake Marshall, LLC, a Specialty Mechanical Contractor
Chattanooga, TN – Based Specialty Mechanical Contractor Has Been in Operation Since 1930 Conference Call Scheduled For 8:30 a.m. ET on December 3, 2021
About this update from Limbach Holdings, Inc.
[{"type":"text","content":"\nChattanooga, TN – Based Specialty Mechanical Contractor Has Been in Operation Since 1930\n\nConference Call Scheduled For 8:30 a.m. ET on December 3, 2021\n\n PITTSBURGH--(BUSINESS WIRE)--\nLimbach Holdings, Inc. (Nasdaq: LMB) (“Limbach”), an integrated building systems solutions firm whose expertise is in the design, modular prefabrication, installation, management and maintenance of heating, ventilation, air-conditioning (“HVAC”), mechanical, electrical, plumbing and controls systems, today announced the closing of the acquisition of Chattanooga, TN-based specialty mechanical contractor Jake Marshall, LLC, along with certain affiliated companies (collectively “Jake Marshall”), for an enterprise value of $20 million in an all-cash transaction.1\n\nTransaction Highlights\n\n\nFrom 2014-2020, Jake Marshall generated on average more than $45 million in revenue and $4.5 million in EBITDA annually.\n\n\nNet consideration paid by Limbach at closing was $20 million1, which was sourced from available cash in the amount of $10 million and additional term loan borrowings of $10 million provided by the Company’s lenders.\n\n\nAdditionally, Jake Marshall’s owners may receive up to $6 million in total future cash consideration subject to meeting certain performance thresholders in calendar years 2022 and 2023.\n\n\nBackground on Jake Marshall\nServing Southeastern Tennessee, Northern Georgia and Northern Alabama, Jake Marshall provides industrial and institutional mechanical construction, fabrication and millwright capabilities with an emphasis on owner-direct projects. Key industries served by Jake Marshall include automotive, food processing, packing, specialty chemicals and utilities, in addition to a dominant presence in the healthcare and higher education markets in the greater Chattanooga market.\n\nManagement Commentary\n“This is a highly strategic acquisition that we expect will be immediately accretive to our bottom-line profitability with significant upside potential,” said Charlie Bacon, President and CEO of Limbach. “Our strategy has been directed toward expanding our owner-direct focus, both organically and through the acquisition of companies that meet our strategic objectives. Jake Marshall is an excellent fit with our criteria. In addition to expanding Limbach’s presence in the southeast, Jake Marshall provides expanded ow...