Under the terms of the agreement, EMCOR Group will pay Comfort Systems $186.25 million, approximately $164.25 million in cash and $22 million by assumption of Comfort Systems notes payable to former owners of certain of the acquired companies.

The companies to be acquired had 2001 revenues of approximately $650 million and employ approximately 3,800 technical and service employees in 11 states. These companies, which are predominantly in the Midwest and New Jersey, are active in the installation and maintenance of mechanical systems, including the design and installation of fire protection and process systems, and provide services to a wide variety of industries, including the food processing, pharmaceutical, and manufacturing/distribution sectors.

Frank T. MacInnis, EMCOR chairman and ceo said, “This acquisition is an excellent strategic fit. The transaction brings into the EMCOR family a number of high-quality operating companies with excellent growth prospects and increases our presence in the Midwest, with the portion of our revenues generated from this region expected to grow to 20% from 2001’s 11%. It also diversifies the end markets EMCOR serves, most notably providing us with a significant presence in the food processing and pharmaceutical sectors.”

Publication date: 02/11/2002