Expands Midwest Presence, Adds Significant Mechanical, Electrical, Plumbing and Controls Capabilities and Scale and Broadens Exposure to Attractive End Markets

Limbach Holdings, Inc. (NASDAQ:LMB) ("Limbach" or the "Company"), a building systems solutions firm that partners with building owners and operators of mission-critical mechanical, electrical, plumbing, and controls ("MEPC") infrastructure, today announced that it has acquired 1901 Inc. ("1901") a Madison, Wisconsin-based union MEP contractor with a 125 year history providing design-build, construction, fabrication, service, maintenance, controls, and underground utility solutions throughout Wisconsin and the Midwest.

Transaction Details and Rationale

The acquisition of 1901 increases Limbach’s scale in the Midwest and establishes the Company’s largest electrical operation to date, while adding capabilities across mechanical, plumbing, controls, fabrication, service and underground utility solutions. This addition is also expected to enhance Limbach’s ability to serve national account customers through an expanded geographic footprint and operational scale.

The acquisition was completed for a purchase price of $63 million (subject to customary post-closing adjustments) and was funded through available cash and borrowings under the Company’s recently expanded revolving credit facility. The transaction also includes performance-based earn-outs of up to $6 million, with the earnout amounts being payable, if earned, over the next two years from closing upon the achievement of specified performance targets.