EMCOR Group announces $865m acquisition of Miller Electric to expand in Southeast U.S.
In a landmark transaction valued at $865 million, EMCOR Group, Inc., a Fortune 500 leader in mechanical and electrical construction services, is set to acquire Miller Electric Company, a Jacksonville-based electrical contractor. This move significantly bolsters EMCOR’s position in high-growth markets, including data centers, healthcare, and manufacturing, while expanding its geographical footprint across the Southeastern United States.
The boards of directors for both companies have unanimously approved the deal, which is expected to close in the first half of 2025. EMCOR aims to enhance its service offerings and scale by integrating Miller Electric’s advanced capabilities, innovative approach, and established client base of over 1,000 companies.
Strengthening Electrical Construction Services
Miller Electric brings a 97-year legacy of innovation and excellence to EMCOR’s portfolio. Known for designing, installing, and maintaining complex electrical systems, Miller Electric extends its services beyond traditional electrical contracting. Its expertise spans systems integration, energy and sustainability solutions, building automation, and engineering services—offering a comprehensive platform that aligns with EMCOR’s strategic goals.
With 21 branch offices and a workforce of over 3,500 skilled professionals, Miller Electric’s presence is particularly strong in Florida and the greater Southeastern U.S., generating approximately 90% of its revenue from this region. EMCOR sees this acquisition as a critical step in enhancing its “local execution, national reach” strategy, enabling the company to better serve high-growth industries and capture opportunities in underserved regions.
Tony Guzzi, Chairman, President, and CEO of EMCOR, emphasized that Miller Electric’s culture of innovation and commitment to operational excellence align seamlessly with EMCOR’s values. He noted that this transaction reinforces EMCOR’s leadership in the electrical construction market while creating synergies that will drive growth and efficiency.
Enhancing Capabilities in High-Growth Markets
Miller Electric’s expertise in sectors such as data centers, healthcare, and manufacturing positions EMCOR to capitalize on increasing demand for advanced electrical and technology solutions. These industries are experiencing rapid growth, driven by factors such as the digitalization of infrastructure, the expansion of healthcare facilities, and the rise of sustainable manufacturing practices.
Dan Fitzgibbons, President and CEO of EMCOR Electrical Construction Services, highlighted Miller Electric’s leadership in leveraging cutting-edge technologies like virtual design, prefabrication, and advanced project execution techniques. He stated that these capabilities will enhance EMCOR’s service quality, efficiency, and value proposition across its client base.
Furthermore, Miller Electric’s focus on sustainability aligns with EMCOR’s broader mission to create environmentally responsible solutions. This includes advancing technologies such as EV charging infrastructure, which will play a crucial role in the evolving energy landscape.
Leadership Continuity and Integration
Upon the acquisition’s completion, Miller Electric will continue operating under EMCOR’s Electrical Construction Services segment, with Henry Brown remaining as CEO. The existing leadership team will also stay in place, ensuring a smooth integration process and maintaining the company’s legacy of client-focused innovation.
Henry Brown expressed optimism about the partnership, describing EMCOR as the ideal fit to support Miller Electric’s long-term goals. He emphasized that joining EMCOR would provide additional resources to expand the company’s reach and enhance its service offerings, benefiting both employees and clients.
This leadership continuity, combined with EMCOR’s financial strength and operational expertise, is expected to accelerate Miller Electric’s growth trajectory while preserving its strong reputation in the industry.
Financial and Strategic Implications
The acquisition is projected to generate significant financial benefits for EMCOR, including an estimated $805 million in revenue and $80 million in Adjusted EBITDA from Miller Electric in 2024 alone. Additionally, the transaction is expected to be modestly accretive to EMCOR’s earnings per share in 2025, with further accretion anticipated in subsequent years.
EMCOR will fund the acquisition using cash on hand, reflecting its robust financial position. Hart-Scott-Rodino approval has already been secured, ensuring a smooth regulatory process.
By integrating Miller Electric, EMCOR gains access to a well-established platform with a strong growth, margin, and cash flow profile. This positions the company to further solidify its leadership in electrical construction services while capturing emerging opportunities in high-demand markets.
Driving Innovation and Sustainability
This acquisition underscores EMCOR’s commitment to innovation and sustainability. Both companies share a forward-thinking approach, prioritizing advanced technologies and environmentally responsible solutions. Miller Electric’s focus on training and workforce development also aligns with EMCOR’s values, fostering a culture of continuous improvement and operational excellence.
As industries increasingly demand sophisticated electrical and technology solutions, EMCOR’s enhanced capabilities position it to lead the way in delivering innovative and sustainable infrastructure. The acquisition of Miller Electric is not only a strategic growth initiative but also a testament to EMCOR’s vision for shaping the future of the construction and energy sectors.
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