Business
Limbach Holdings, Inc. Acquires Chattanooga, TN – Based Specialty Industrial Contractor ACME Industrial Piping, LLC
WARRENDALE, Pa.--(BUSINESS WIRE)-- Limbach Holdings, Inc. (Nasdaq: LMB) (“Limbach” or the “Company”) today announced the closing of the acquisition of
About this update from Limbach Holdings, Inc.
[{"type":"text","content":" WARRENDALE, Pa.--(BUSINESS WIRE)--\nLimbach Holdings, Inc. (Nasdaq: LMB) (“Limbach” or the “Company”) today announced the closing of the acquisition of Chattanooga, TN-based specialty industrial contractor ACME Industrial Piping, LLC (“ACME”) for an enterprise value of $5 million in an all-cash transaction.\n\n\nTransaction Highlights\n\n\n\nACME specializes in performing industrial maintenance, capital project work, and emergency services for specialty chemical and manufacturing clients, and is a leading mechanical solutions provider for hydroelectric producers.\n\n\n\n\nACME’s business model aligns well with Limbach’s emphasis on expanding the Owner Direct Relationships (“ODR”) segment, including significant owner-direct exposure and an indispensable ‘on-premise’ presence at a number of Fortune 500 caliber customers.\n\n\n\n\nACME expects to contribute on average $10 million in revenue and in excess of $1 million in EBITDA annually.\n\n\n\n\nTotal consideration paid by Limbach at closing was $5 million (subject to typical working capital adjustments), sourced from available cash, with performance-based, contingent earn-outs totaling $2.5 million potentially being paid out as part of the transaction over the next two years.\n\n\n\nBackground on ACME\n\n\nFounded in 1968, ACME serves industrial customers in the greater Chattanooga, TN market and hydroelectric customers nationally, with a concentration in the Southeast region. ACME provides mechanical construction, process piping and pipe fabrication capabilities, with an emphasis on delivering customized, quick response solutions for owners of critical process facilities. ACME is recognized nationally as “The EMTs of the Industrial Market.”\n\n\nManagement Comments\n\n\nMichael McCann, Limbach’s President and Chief Executive Officer, said, “We’re excited to welcome Jim Bailey and the ACME team. We believe ACME is a perfect fit with Limbach’s dynamic mechanical solutions platform, both operationally and culturally. ACME aligns well with our ODR segment, with a focus on performing mission critical work for customers that value immediate access to a trusted partner to help manage and optimize their facility assets. ACME has a number of Fortune 500 industrial clients as customers. We are excited to expand those relationships and to leverage the rest of Limbach’s capabilities across...