Construction Acquisitions in 2021

Kustom US, Inc. acquired Five Star Restoration & Construction, Inc., a Sacramento-area disaster restoration and reconstruction firm, with the transaction closing on December 31, 2021. Five Star’s owners Brenda Gallion and Aaron Provencal and the existing staff will remain as the business becomes a division of Kustom to expand Kustom’s California footprint and service capabilities.

Sterling Construction Company, Inc. acquired Petillo Incorporated, a Northeast specialty site development firm, for $195 million in aggregate consideration (comprised of $175M cash and 759,447 shares valued at $20M) with up to $20M in earn-outs and $15M in retention payments for the CEO. The deal expands Sterling's E‑infrastructure capabilities and geographic footprint across major East Coast markets, positioning the company as a leader in specialty site development for blue‑chip e‑commerce and data center customers.

Sterling Construction Company, Inc. has acquired Kimes & Stone, a soil stabilization and site development services provider, in an all-cash transaction for $7.6 million (approximately 3–4x EBITDA). The acquisition includes Kimes’ equipment fleet, working capital and management team, and is intended to vertically integrate Sterling’s specialty infrastructure services and expand capacity and geographic footprint across the U.S. Southeast.

Cooper Equipment Rentals, a SeaFort Capital‑backed rental platform, acquired EZE Rent‑It Centre (three locations in the Fraser Valley, British Columbia) and Stayner Rental (one location in Stayner, Ontario). The transactions are add‑on acquisitions that expand Cooper’s branch network and presence in British Columbia and Southern Ontario.

Titan Holdings (through its Renuity platform) has acquired MaxHome, a Jefferson, Louisiana-based bathroom and window remodeler. The add-on expands Titan/Renuity's national footprint across the Gulf Coast and strengthens its portfolio of home improvement operating divisions.

Main Street Capital Corporation completed a $24.8 million follow-on first-lien, senior secured term debt investment in portfolio company Cody Pools, Inc. to support Cody’s acquisition of a Phoenix, Arizona-based pool builder. Cody Pools, headquartered in Georgetown, Texas, operates in Texas and Florida and said the acquisition expands its national presence into Arizona.

BizGro Partners, a New Jersey-based private investment firm, acquired Lake Champlain Roofing, a family-run roofing contractor based in Plattsburgh, New York. The transaction closed on September 21, 2021 and was advised by Generational Equity; BizGro intends to continue building a national portfolio of roofing companies.

MasTec, Inc. (NYSE: MTZ) agreed to acquire Henkels & McCoy Group Inc., a leading U.S. utility power transmission and distribution contractor, for total consideration of $600 million (approximately $420 million cash plus ~2 million shares of MasTec common stock). The acquisition, which adds roughly 5,100 employees and $1.5 billion of 2021 revenue, expands MasTec's footprint and capabilities in the electric utility services market to support grid modernization and renewable energy buildout.

Groundworks, a Virginia Beach-based foundation and water management platform backed by Cortec Group, acquired Alpha Foundations, a Monticello, Florida-based foundation and crawl space repair company, on December 16, 2021. The add-on expands Groundworks' footprint in Florida and Southern Georgia; Alpha will retain its brand while benefiting from Groundworks' investment in employees, marketing and infrastructure.

Congruex, a Crestview Partners-backed telecom engineering and construction platform, has acquired Ohio Valley Excavating (OVE), a regional commercial excavation and underground utility services provider based in Lebanon, Ohio. The add-on strengthens Congruex's underground telecom and utility capabilities in the Midwest and retains OVE's founders and leadership as senior managers; financial terms were not disclosed.

Brookfield Business Partners L.P. completed the acquisition of Modulaire Group from TDR Capital II Holdings L.P., closing in December 2021. The deal (announced in June 2021 and completed on 15 December 2021) transfers ownership of the European modular space and portable storage leader — which operates the Algeco brand and a large rental fleet across many countries — to Brookfield as part of its industrial/services portfolio expansion.

Capital Construction, a portfolio company of O2 Investment Partners, has partnered with and acquired Irish Roofing & Exteriors, a Grand Rapids-based roofing and exterior restoration company. The add-on expands Capital's Midwest footprint and provides additional organic and inorganic growth opportunities for the platform.

VESTA Modular, a portfolio company of Kinderhook Industries, acquired Riverside, California-based Commercial Mobile Systems on December 8, 2021 to expand its West Coast branch network. The deal adds CMS's Riverside branch and employees to VESTA's national modular rental and sales platform as part of a geographic expansion strategy.

Highland Roofing Company and related sheet-metal business Coastal Fabrication, Inc., both headquartered in Wilmington, North Carolina, were sold to private investors in a transaction that closed on December 10, 2021. The buyer group was undisclosed; the seller engaged Generational Equity as M&A advisor to execute the sale to investors focused on maintaining employee culture and continuity.

Adelis Equity Partners has partnered with four entrepreneur-led companies—Reomti, Våtrumsteknik, Heving & Hägglund and Dipart—to establish Circura, a platform focused on building rehabilitation and renovation services in Sweden. The new group will generate SEK 2 billion in revenue and about 400 employees, with a stated strategy to consolidate the market and double revenue by 2025.

Johns Lyng Group (ASX: JLG) has signed a definitive agreement to acquire 100% of Reconstruction Holdings, Inc. (and its operating subsidiary Reconstruction Experts) from Linx Partners and other existing shareholders. Reconstruction Experts, headquartered in Arvada, Colorado, provides specialized property repair and restoration services to homeowner associations, multifamily property managers, and commercial property owners and employs over 250 professionals. The acquisition expands Johns Lyng’s capabilities and U.S. footprint in property repair and restoration services.

Revive Infrastructure Group, in partnership with Sileo Capital and Brightwood Capital, acquired Crown Utilities, a Nampa, Idaho-based utility contractor focused on telecommunications infrastructure. The deal expands Revive's capabilities and geographic footprint in the Intermountain West; Crown will retain its brand and Ken Killingbeck will continue as president.

Blue Team Holdings, LLC (BlueTeam), a Boca Raton-based provider of restoration, construction and roofing services, has acquired Sendero Restoration Services, LLC, a Houston-headquartered commercial roofing and general contracting firm specializing in insurance restoration. The deal expands BlueTeam's roofing capabilities and national footprint, positioning the combined business as a larger national provider to commercial property owners and operators.

Satterfield & Pontikes Construction, Inc. acquired Eagle Contracting, LP, a Fort Worth-based water and wastewater general contractor, with the deal closing on December 6, 2021. Eagle will retain its name and senior leadership, who will join the S&P executive team as the buyer expands its capabilities in the water/wastewater infrastructure market.

Limbach Holdings, Inc. (Nasdaq: LMB) completed the acquisition of Chattanooga-based specialty mechanical contractor Jake Marshall, LLC for an enterprise value of $20 million in an all-cash transaction. Jake Marshall, which generated average revenues of more than $45 million and approximately $4.5 million in EBITDA (2014–2020), expands Limbach’s owner-direct industrial and institutional capabilities and southeastern U.S. presence.

New Mountain Capital has partnered with Seattle-based Cumming Group in a growth-oriented transaction in which Tailwind Capital sold its stake while retaining an equity interest alongside New Mountain. Terms were not disclosed; Cumming is an international project and cost management consultancy with 1,100+ employees across 41 offices and will use New Mountain's capital to pursue organic growth and acquisitions.

Gold Medal Pools, a Frisco-based pool builder and contractor, has acquired A+ Reliable Pool Service (owned by Bob and Rena Bauer) to expand its pool service and maintenance business across the Dallas–Fort Worth area. The acquisition significantly increases Gold Medal Pools' weekly maintenance customer base and supports the company's growth strategy in surrounding DFW suburbs.

Riverbend Sandler Pools, a Plano-based platform and portfolio company of Concentric Equity Partners, has acquired Pulliam Pool Builders Inc. and Pulliam Services Inc., a Fort Worth-based residential pool construction, renovation, and repair provider. Seller and long-time owner Debra Smith will remain through a transition period and then move to a strategic consulting role; Riverbend plans to retain the Pulliam brand and employees and invest to grow the business.

GSCM Group (Groupe Solfab Constructions Modulaires), supported by private equity firm Equistone Partners Europe, has acquired Deltamod, a French specialist in the reconditioning and reuse of modular buildings. Deltamod — founded in 2013, based in Nort-sur-Erdre and employing ~30 people with ~€8M revenue (FY21/22) — will remain supported by its founders and expand within GSCM's national modular-building platform to strengthen sustainable, circular-economy offerings.

Knife River Corporation, the construction materials subsidiary of MDU Resources Group, Inc., has acquired Baker Rock Resources and Oregon Mainline Paving to expand its platform in the Pacific Northwest. The transactions add about 230 employees, replenish aggregate reserves near the Portland metro area, and bring increased paving capabilities to Knife River's Northwest region.

Synergos, a family of residential construction trade partners, has acquired Brewer Companies — which includes Brewer Enterprises, Ben Franklin Plumbing AZ and Brewer Commercial Services — to deepen production capabilities and improve construction efficiency in the Arizona residential market. The deal strengthens Synergos' integrated subcontracting model to address supply shortages, skilled labor constraints and schedule predictability for homebuilders.

Pacific Power & Systems (PPS), a platform company backed by White Wolf Capital, has acquired Adkins Electric, a Jacksonville, Florida-based full-service electrical contractor. White Wolf provided capital (senior term debt, preferred equity and a minority common equity co-investment) to PPS to complete the add-on acquisition, expanding PPS's service capabilities and geographic footprint in Northern Florida and the Southeast; terms were not disclosed.

Marmon Retail Solutions, a Marmon Holdings (Berkshire Hathaway) company, acquired Big Red Rooster Flow (BRRF) and Project CSI effective November 18, 2021. The acquisitions expand Marmon Retail Solutions' program management, construction and branding capabilities for retail fuel, retail drug and quick-serve restaurant channels; terms were not disclosed.

TopBuild Corp.'s TruTeam business acquired Tonks Insulation (St. George, Utah) and Shepherds Insulation (Pueblo, Colorado), expanding its installation footprint in southern Utah and Colorado. The two businesses generated approximately $6 million of combined revenue in 2020 and will be integrated into TopBuild's TruTeam installation platform.

TZP Group LLC, alongside a group of co-investors, acquired Home Brands Group Holdings Inc., the parent company of Re-Bath, the nation’s largest complete bathroom remodeling franchise. The investment will support Re-Bath’s continued franchise expansion, technology and team investments, and efforts to capture additional market share in the growing residential bathroom remodeling market.

Virginia Beach-based Groundworks, a Cortec Group-backed national foundation and water management platform, acquired Philadelphia-based BQ Basements & Concrete. The add-on expands Groundworks' Northeast footprint (greater Philadelphia, New Jersey and Northern Delaware) and brings BQ's team, local brand and basement/foundation services under Groundworks' national platform; terms were not disclosed.

O2 Investment Partners has partnered with Capital Construction, LLC and CEO Andy Oakes in a platform investment to support the company's growth; terms were not disclosed. Capital Construction, headquartered in Burnsville, Minnesota, provides roof replacement and exterior restoration services to single-family and multi-family residential customers and will work with O2 to scale operations and pursue strategic M&A and geographic expansion.

Pool Troopers, the Pool & Spa Services platform backed by Shoreline Equity Partners, has partnered with Year Round Pool Company, Inc., a full-service pool service and construction business serving Hilton Head and coastal Georgia. The transaction expands Pool Troopers’ footprint into South Carolina and Georgia and adds construction, retail, renovation, and design capabilities while Year Round Pool’s management remains engaged with a significant ownership stake.

RoadSafe Traffic Systems (RoadSafe) has acquired Barricade Services & Sales, Inc. (BSSI), a Salt Lake City-based supplier of traffic control products and services. The deal expands RoadSafe's footprint into the Mountain West/Utah market and broadens its traffic control and pavement marking capabilities; RoadSafe is PE-backed following partnerships with Investcorp and Trilantic North America.

BluSky Restoration Contractors, a national restoration and roofing services provider, announced a merger with Morton, Illinois-based Menold Construction and Restoration. The combined business will operate under the BluSky name and expand BluSky's presence and services in central Illinois, adding commercial roofing and healthcare restoration capabilities while Menold CEO Jeff Neihouser transitions to a senior leadership role at BluSky.

Construction Partners, Inc. (NASDAQ: ROAD) has acquired J. Miller Construction Inc., a grading and sitework contractor based in Pensacola, Florida. The deal strengthens Construction Partners' presence and capabilities in the Florida Panhandle by adding local sitework and grading expertise and workforce.

Soundcore Capital Partners acquired Innovative Roofing Group and integrated it into its Roofing Corp of America commercial roofing platform. Innovative Roofing Group, an Atlanta-based commercial roofing and sheet metal contractor serving the Southeast since 2003, will expand Roofing Corp of America's capabilities and regional footprint; Oaklyn Consulting advised on the transaction.

Controlled Environment Systems (CES), a Mansfield, Massachusetts-based designer and builder of controlled environments, has acquired JAX Cool, the low-temperature construction division of JAX Refrigeration Inc. The acquisition expands CES’s thermal-envelope, installation and implementation capabilities and strengthens its presence in the U.S. Southeast while keeping JAX Cool employees at their current location.

Denver-based private equity firm Bow River Capital completed a recapitalization of Progressive Roofing, a Phoenix-headquartered commercial roofing services provider. Progressive's management participated in the transaction, retaining a meaningful ownership stake as Bow River provides capital to support growth and geographic expansion.

Tulcan, a Houston-based private equity firm, completed a majority investment in A Greater Austin Development (AGADCO), a Central/South Texas civil concrete construction firm. As part of the transaction founder Bobby Finley will retire and management (led by CEO Kerry Collins) will take a meaningful ownership stake while Finley remains on the board.

Construction Partners, Inc. (NASDAQ: ROAD) acquired King Asphalt, Inc., a Liberty, South Carolina-based hot-mix asphalt and paving company with three plants in the Greenville area. The acquisition gives Construction Partners a South Carolina platform to support future geographic expansion and participation in public, commercial and residential paving projects.

Procore Technologies has signed a definitive agreement to acquire Levelset for approximately $500 million in a mix of cash and Procore stock. The acquisition adds lien rights management and payment/compliance capabilities to Procore's construction platform and gives Procore access to Levelset's payment and compliance data to develop risk intelligence and future financial products.

The JF Petroleum Group, a MidOcean Partners portfolio company, entered into a definitive agreement to acquire the assets of RC Development Group Inc., a turnkey construction services firm headquartered in Northeast Florida. The add-on strengthens JF Petroleum Group's Southeast regional capabilities in commercial petroleum construction and environmental services, expanding its turnkey service offerings.

Atlanta-based Garden City Companies has acquired Essig Pools, a family-owned pool builder headquartered in Miramar, Florida. Garden City — backed by investors including Jeb Bush and Drew Brees — plans to use Essig as the first of multiple acquisitions to build a family of pool companies in Florida and provide succession/liquidity for retiring owners.

Dream Finders Homes, Inc. (DFH) entered a definitive agreement to acquire the homebuilding, mortgage banking and title insurance assets of Houston-based McGuyer Homebuilders, Inc. (doing business as Coventry Homes). The transaction expands DFH's Texas footprint (Houston, Dallas, Austin, San Antonio), adds ~1,850 homes in backlog and finished lots, and is being financed in part via a $150 million preferred-stock issuance and increased credit commitments.

Atlantic Southern Paving & Sealcoating, a PE-backed national commercial pavement maintenance platform, has acquired Murphree Paving of Tupelo, Mississippi as its second add-on. The acquisition, executed under Atlantic Southern's partnership with Harbor Beach Capital (and Aldine Capital Partners per one announcement), expands Atlantic Southern’s geographic footprint across the southeastern United States and strengthens its commercial pavement maintenance capabilities.

Construction Partners, Inc. (NASDAQ: ROAD) acquired C.K. Earnhardt & Son, Incorporated, a North Carolina-based asphalt contractor, adding a hot-mix asphalt plant, personnel and equipment in the greater Charlotte metro area. The acquisition expands Construction Partners' geographic footprint within North Carolina to support participation in ongoing development and public infrastructure projects.

BMS CAT (Blackmon Mooring & BMS CAT) has acquired Guardian Restoration, a St. Petersburg, Florida-based provider of home and commercial restoration, reconstruction and repair services. The business will be bolted on to BMS CAT's Tampa team to expand service coverage and strengthen BMS CAT's footprint in West Central Florida.

Achates Ventures, RCap Equity and Deerpath Capital Management acquired a controlling interest in Roadrunner Restoration, a Houston-based provider of fire, water and disaster restoration services. Deerpath provided senior debt financing and an equity co-investment to facilitate the transaction, which closed on September 9, 2021; buyers expect to provide operational and financial resources to support growth.

Restoration Builders, Inc. completed an asset purchase of Palazzo Restoration, LLC, acquiring Palazzo's online roofing sales business and bringing founder Tim Rimedio and his web-based sales process into Restoration Builders. The deal is intended to kick-start Restoration Builders' online sales efforts and expand that capability into additional geographic territories beginning in Q4 2021.