Business
Limbach Holdings, Inc. Acquires Greensboro, NC – Based Specialty Mechanical Contractor Industrial Air, 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 Industrial Air, LLC (“IA”), a specialty mechanical contractor based in Greensboro, North Carolina, for an initial enterprise value of $13.5 million in an all-cash transaction.\n\n\nTransaction Highlights\n\n\n\nIA provides environmental mechanical and air filtration solutions and custom air handling equipment to industrial customers, with a particular expertise in serving the mission critical needs of leading businesses in the textile industry.\n\n\n\nHeadquartered in Greensboro, North Carolina, IA establishes Limbach’s presence in a diversified and fast-growing geographic market from which the Company can continue to expand in the industrial and institutional sectors.\n\n\n\nIA’s business model aligns well with Limbach’s focus on executing on ODR opportunities and providing critical solutions to owners of sophisticated manufacturing and process facilities.\n\n\n\nIA expects to contribute on average an estimated $30.0 million in revenue and $4.0 million in EBITDA annually.\n\n\n\nTotal consideration paid by Limbach at closing was $13.5 million (subject to typical working capital adjustments), sourced from available cash, with performance-based, contingent earn-outs totaling $6.5 million potentially being paid over the next two years.\n\n\n\nBackground on Industrial Air, Inc.\n\n\nFounded in 1964 and led by second generation President Allen R. Hunter, Jr., IA serves industrial customers throughout the Southeast United States and along the Eastern Seaboard. IA focuses on delivering engineered air handling systems, including air condition and air filtration, along with controls systems and maintenance work.\n\n\nManagement Comments\n\n\nMichael McCann, Limbach’s President and Chief Executive Officer, said, \"As we continue to carve our path in the industry, our growth strategy unfolds through three critical pillars. We seek culturally compatible firms, encompassing small 'tuck-in' deals and larger opportunities that will enable us to enter new geographies as we look to fill out our footprint east of the Mississippi river. Acquiring IA presents an exciting frontier, allowing us to continue to complete acquisitions that meet our geographic expansion objectives. The Carolinas offer a ...