EMCOR Group announced that it has entered into a definitive agreement to buy Miller Electric Company, a leading electrical contractor serving high-growth areas across the Southeastern U.S., for $865 million in cash, subject to customary adjustments. The boards of directors of both of the companies unanimously approved the deal.
Based in Jacksonville, Florida, Miller Electric designs, installs, maintains, upgrades, and replaces complex electrical systems and related technologies across the Southeast. And Miller Electric is a trusted partner to more than 1,000 clients across a broad array of industries, with a focus on high-growth sectors, including data centers, manufacturing, and healthcare.
With over 3,500 highly skilled professionals and a scaled commercial electrical contractor platform with 21 branch locations, Miller Electric delivers expertise to its clients that extends beyond traditional electrical contracting into systems integration, repairs and maintenance, building automation, energy and sustainability solutions, and engineering services.
Miller Electric has a strong growth, margin, and free cash flow profile, with about 90% of the company’s revenues currently generated from Florida and the greater Southeastern U.S., where EMCOR has a limited electrical construction presence today. And EMCOR expects Miller Electric to generate approximately $805 million in revenue and about $80 million in Adjusted EBITDA in calendar year 2024. As of November 2024, Miller Electric had $755 million in remaining performance obligations.
Upon the completion of the acquisition, Miller Electric will operate within EMCOR’s Electrical Construction Services segment under Dan Fitzgibbons, President and CEO of EMCOR Electrical Construction Services. And Henry Brown will continue to serve as CEO of Miller Electric with the Miller Electric leadership team remaining in place. Miller Electric will remain headquartered in Jacksonville, Florida.
EMCOR plans to fund the transaction through cash with an expected close in the first half of 2025, subject to customary closing conditions.
The deal is expected to be modestly accretive to EMCOR’s earnings per share in 2025 with further accretion in future years.
Evercore is serving as a financial advisor to EMCOR, and Ropes & Gray is serving as its legal advisor. Stephens is serving as financial advisor to Miller Electric, and Driver, McAfee, Hawthorne & Diebenow, PLLC is serving as its legal advisor.
KEY QUOTES:
“The team at Miller Electric has built a legacy of delivering high-quality solutions beyond traditional electrical contracting and staying ahead of industry trends through their commitment to innovation. Their service-first mindset, long-standing reputation of excellence, and forward-thinking approach have positioned Miller Electric as a leading non-residential electrical and technology contractor in the Southeastern United States.”
“The addition of Miller Electric expands EMCOR’s electrical capabilities through their suite of comprehensive, mission-critical services and bolsters our already strong presence in high-growth areas including data centers, manufacturing, and healthcare. With a complementary geographic footprint, this transaction enables us to enhance our ‘local execution, national reach’ strategy as we broaden our overall construction services platform. Importantly, Miller Electric is also a great fit with our EMCOR Values and culture of operational excellence with their 97-year track record of safety and innovation.”
- Tony Guzzi, Chairman, President, and Chief Executive Officer of EMCOR
“The Miller Electric team has consistently demonstrated excellence within their end markets. By leveraging advanced technologies such as virtual design and construction, along with prefabrication techniques, they have a proven record of continually improving project efficiency and quality for their clients. Like EMCOR, Miller Electric not only enhances project execution, but also empowers their workforce through continuous development and training, sharing key methods and practices across the organization. I want to extend a warm welcome to the entire Miller Electric team and look forward to collaborating to drive the business forward.”
- Dan Fitzgibbons, President and CEO of EMCOR Electrical Construction Services
“For nearly a century, we have taken great pride in delivering innovative electrical solutions and building strong relationships with our clients and partners. Joining forces with EMCOR will allow us to further enhance our services and offerings, leveraging additional resources to expand our reach and continue leading the way in serving our clients in the evolving energy and infrastructure landscape. We are confident EMCOR is the right partner for us, bringing a long-term approach and deep understanding of our business, culture, and values. EMCOR will allow us to reach our full potential as a company and create even more opportunities for our employees and the communities we serve. We look forward to continuing our growth for years to come as part of the EMCOR family of companies.”
- Henry Brown, Chief Executive Officer at Miller Electric
