Exelon Infrastructure Services (EIS) acquires more contracting companies

The acquisition expands the EIS national network with more to come.

Exelon Enterprises — a division of Exelon Corporation — and Exelon Infrastructure Services, Inc. (Morton, PA; EIS) announced today that EIS has acquired three key additions to its network of utility and industrial infrastructure services companies and signed a definitive agreement to purchase another.

The three acquired companies are:

• M.J. Electric, Inc. (Iron Mountain, MI) — an electrical contracting and engineering resource firm with more than 40 years of experience serving a wide variety of electric utility, telecommunications, heavy industrial and chemical processing companies throughout the country. It specializes in design, construction and maintenance of overhead and underground facilities. It employs a workforce of 850.

• P.A.C.E. Engineering, Inc. (Tulsa, OK) — provides technical services to the energy and communications industries, including project feasibility studies, engineering, drafting, project management, surveying, inspection, permitting, mapping and environmental services. It employs a workforce of 140.

• Electric Services, Inc. (East Haven, CT) — is a 15-year-old company focusing on power protection and service of electric equipment for utilities, engineering firms, large industrial companies and commercial businesses in the U.S. and world markets, including equipment in the low, medium and high voltage classes. Its services include engineering, design and fabrication, the remanufacture of equipment and retrofitting to solid-state protection. It employs a workforce of 40.

In addition, EIS has signed a definitive agreement to acquire Blair Park Services, Inc. (Warrington, PA) and is expected to close in early January. Blair Park Services, Inc. is a contractor concentrating on the installation of utility poles and lines and the design and installation of underground electric systems and telecommunications networks in the Mid-Atlantic region. It specializes in consulting, design, configuration, lease, construction and ongoing support of fiber optic, dark fiber and network infrastructure. It employs a workforce of 85.

The four companies, with combined trailing twelve-month revenue of $200 million, employ a total workforce of 1,100. They join EIS to create a business with 8,000 employees and annualized revenues in excess of $900 million. The acquisitions are expected to be immediately accretive to earnings, and are expected to realize annualized revenues of more than $245 million for calendar 2001.

Greg Cucchi, EIS Chairman and CEO plans for more acquisitions in the future.

"As the energy and communications companies continue to execute their emerging plans to pursue their rapidly changing marketplace, our customers need major turnkey design, construction, and maintenance capabilities," Cucchi said. "We are meeting this need through the acquisition and consolidation of high-quality contracting partners, and by offering, through them, a wide range of utility and industrial network services nationwide."

He said EIS' mission is to provide bundled services to multiple infrastructures within given geographic regions, creating significant competitive advantage through economies of scope and scale. "We plan to leverage the reputation, operating profitability, and entrepreneurial spirit within our partner firms," Cucchi said, "bringing increased levels of service, capability, and reach to our current and future customers."

Edited by Jerry R. Borland, P.E.
Managing Editor, EC Online
jborland@vertical.net