ABM Industries Bolsters EV Business Via Acquisition Of Microgrid Systems Provider RavenVolt

ABM Industries, Inc. ABM has agreed to acquire RavenVolt, Inc, headquartered in Alpharetta, Georgia, for an initial purchase price of $170 million in cash.
The purchase price also includes the potential for post-closing earn-out consideration payable in cash in calendar years 2024, 2025, and 2026. The maximum aggregate cash earn-out payment amount is $280 million, resulting in a maximum total purchase price of $450 million.
RavenVolt, which employs over 80 people, designs and installs customized microgrid solutions, including RavenVolt branded generators and switchgear. RavenVolt team is led by Jonathan Hinton and Eric Scanlon.
RavenVolt expects to generate revenue of $70 million - $80 million and EBITDA of $17 million - $19 million in calendar 2022.
ABM expects the transaction to close during its 4Q22.
Scott Salmirs, ABM's President & CEO, said, "With numerous completed microgrid projects generating over 3 gigawatts of power across a wide range of industries, the RavenVolt team members are true leaders in the industry."
The addition of RavenVolt's microgrid capabilities offers ABM the potential to accelerate growth in its eMobility business by delivering customized power solutions in facilities where additional power generation capacity is needed to support EV charging.
ABM had available liquidity of ~$781 million, including cash and equivalents of $48.9 million, as of April 30, 2022.
Price Action: ABM shares are trading higher by 2.89% at $48.39 on the last check Thursday.