Contracting services provider Comfort Systems USA has agreed to acquire Summit Industrial Construction from private investment company The Stephens Group. 

The companies did not disclose the financial details and other terms of the transaction. 

This acquisition, expected to close in the first quarter (Q1) of 2024, will bolster Comfort Systems' capabilities in modular construction. 

Headquartered in Texas, US, Summit is a speciality industrial mechanical contractor that offers engineering, design-assist, and turnkey construction services.  

Summit CEO Jeff Johnson said: “We chose Comfort Systems USA based on our belief that we can leverage their complementary capabilities and assets to better serve our customers.  

“Summit and Comfort Systems USA have a strong cultural alignment and a shared commitment to team members at all levels. Together we can continue our strategic focus and provide even more value to customers with additional capabilities and resources.” 

Post-acquisition, Summit's annualised revenues are anticipated to be between $360m and $400m, with earnings before interest, taxes, depreciation, and amortisation ranging from $30m to $45m. 

According to Comfort Systems, in terms of amortisation expense, Summit is projected to make a neutral to slightly accretive contribution to Comfort Systems’ earnings per share in the current year and 2025.  

Comfort Systems CEO Brian Lane said: “Summit is a 100% industrial contractor with the capacity to execute large-scale modular programmes for its customers, and we are optimistic that this investment will expand and diversify our modular construction offering, which is experiencing significant demand and growth.  

“We believe that Summit will be a key platform to further expand our off-site solutions, especially for advanced technology and heavy industrial customers.” 

Comfort Systems specialises in providing commercial, industrial, and institutional air conditioning, heating, ventilation, and electrical contracting services. 

It currently operates across the nation with 169 locations in 129 cities.