EMCOR To Buy Miller Electric In $865 Mln Cash Deal

(RTTNews) - EMCOR Group, Inc. (EME), a mechanical and electrical construction services provider, announced Tuesday that it has entered into a definitive agreement to acquire Miller Electric Co., for $865 million in cash, subject to customary adjustments.

The boards of directors of both companies unanimously approved the transaction.

The transaction is expected to be modestly accretive to EMCOR's earnings per share in 2025 with further accretion in future years.

EMCOR expects to fund the deal through cash on hand with an expected close in the first half of 2025, subject to customary closing conditions.

Florida-based Miller Electric, an electrical contractor working across the Southeastern U.S., designs, installs, maintains, upgrades, and replaces complex electrical systems and related technologies.

With a workforce of more than 3,500 professionals and a scaled commercial electrical contractor platform with 21 branch locations, Miller Electric partners with more than 1,000 clients. Around 90 percent of the company's revenues are currently generated from Florida and the greater Southeastern U.S., where EMCOR has limited electrical construction presence at present.

Upon the deal closure, Miller Electric will operate within EMCOR's Electrical Construction Services segment under Dan Fitzgibbons, President and CEO of EMCOR Electrical Construction Services.

Henry Brown will continue to serve as CEO of Miller Electric along with the current leadership team. It will remain headquartered in Jacksonville, Florida.

Following the deal, EMCOR expects Miller Electric to generate approximately $805 million in revenue and approximately $80 million in Adjusted EBITDA in calendar year 2024.

As of November 2024, Miller Electric had $755 million in remaining performance obligations.

In pre-market activity on the NYSE, EMCOR shares were trading at $472.21, up 0.95 percent.