Quanta Services, a provider of specialty contracting services, has announced its acquisition of Dynamic Systems (DSI), a premier provider of mechanical and process infrastructure solutions. The deal, valued at $1.35 billion, will expand Quanta’s services in the technology, semiconductor, and healthcare sectors.
Dynamic Systems, headquartered in Austin, Texas, is one of the nation’s largest providers of mechanical solutions, with a workforce of approximately 2,400 employees. The company specializes in providing integrated, turnkey mechanical solutions, including design, pre-construction, and custom modular systems.
The acquisition combines $1.15 billion in cash with approximately $200 million in Quanta common stock. An additional earnout of up to $216 million is possible if specific performance targets are met. The existing management team at Dynamic Systems, led by CEO Russell Rehmann, will remain in place.
This acquisition is expected to make a significant contribution to Quanta’s financial performance. Dynamic Systems is projected to generate $1 billion to $1.1 billion in revenues for the full year 2025. This deal enhances Quanta’s ability to offer comprehensive, solutions-driven services, leveraging its expertise in inside electric and power grid infrastructure with Dynamic Systems’ mechanical capabilities.
Advisor: J.P. Morgan Securities served as the exclusive financial advisor to Dynamic Systems.
KEY QUOTES:
“We are excited to announce the acquisition of Dynamic Systems and we welcome their employees to the Quanta family. Dynamic Systems has an excellent reputation for providing collaborative solutions focused on client success, which has resulted in ~80% of their business coming from repeat customers. They bring an exceptional management team and a premier craft-skilled workforce that complement Quanta’s culture. Dynamic Systems will enhance Quanta’s comprehensive infrastructure solutions offering that can facilitate innovative speed-to-market solutions for the load center market. Dynamic Systems provides Quanta a mechanical solutions platform that expands our total addressable market, diversifies our customer base and enhances our ability to provide cost- and labor-certain infrastructure solutions at scale. Dynamic Systems operates in growing end-markets, has a strong and visible opportunity pipeline and an accretive contribution to Quanta’s growth, cash flow conversion, returns and earnings per share.”
Duke Austin, Quanta’s President and Chief Executive Officer
“From our first conversations, it was clear that Quanta’s leadership shares the long-standing values, goals, and mindset of Dynamic Systems. Our mutual commitment to excellence, integrity, and delivering complex technical projects with care reflects a shared culture. The demand for innovation in mechanical construction has never been greater, and we are excited to join forces with Quanta’s family of companies to bring forward-thinking, cost-effective solutions to our clients. This partnership supports our continued growth, opens new markets, and strengthens relationships with existing customers. We are incredibly proud to carry on our 37-year tradition of excellence as part of the Quanta family.”
Russell Rehmann, Chief Executive Officer of Dynamic Systems
