Merger creates new $3.6 billion field services corp.
At the same time, the company announced that its National Accounts Group had new contracts totaling approximately $75 million in revenues during the first six weeks of 2000, compared to about $300 million for all of 1999.
With pro forma combined annual revenues of $3.6 billion and total assets of $2.4 billion, Encompass immediately becomes the U.S. market leader in electrical, mechanical, janitorial, and maintenance management services, says the company. With almost 30,000 employees generating 60 million workhours, the firm has operations in over 250 locations nationwide, providing services in each of the country’s 100 largest cities.
“We have united two excellent portfolios of assets and people to create a company that has the financial resources, scale, and national reach to attract and serve national accounts and immediately increase cross-selling and service-building opportunities,” said J. Patrick Millinor Jr., chairman of Encompass and former chief executive officer of GroupMAC.
“As a one-stop service provider, Encompass goes beyond traditional building maintenance to create a facility support system for our diverse local and national customer base,” stated Joseph Ivey, president and chief executive officer of Encompass and former president and chief executive officer of Building One.
As a result of the merger, each existing share of Building One common stock was converted into 1.25 shares of GroupMAC common stock, creating approximately 35.1 million shares of GroupMAC stock. With the name change of the company, its common stock began trading on the NYSE under the ticker symbol ESR.
“We’re on an incredible journey to change the way business is done in this industry,” said Ivey.