Summary
EMCOR Group, Inc. (EME) announced on September 21, 2007, the completion of its acquisition of FR X Ohmstede Acquisitions Co. ("Ohmstede") on September 19, 2007. This strategic move involved a cash payment of approximately $457 million, with $30 million placed in escrow for indemnification obligations. Ohmstede specializes in aftermarket maintenance, repair, and fabrication services for shell and tube heat exchangers, primarily serving the refinery and petrochemical industries.
Key Highlights
- 1EMCOR Group acquired Ohmstede, a provider of specialized services to the refinery and petrochemical sectors.
- 2The acquisition was completed on September 19, 2007.
- 3The total cash consideration for the acquisition was approximately $457 million.
- 4A portion of the payment, $30 million, was placed in escrow to cover indemnification obligations.
- 5Ohmstede's services include aftermarket maintenance, repair, parts, and fabrication for heat exchangers.
- 6This acquisition is expected to expand EMCOR's service offerings and market reach.
- 7Detailed financial statements and pro forma information related to the acquisition will be filed in an amendment at a later date.
Frequently Asked Questions
This 8-K filing was primarily to report the completion of EMCOR Group's acquisition of FR X Ohmstede Acquisitions Co. ("Ohmstede").
EMCOR paid approximately $457 million in cash for Ohmstede. Of this amount, $30 million was placed into an escrow account to secure certain indemnification obligations of the seller.
Ohmstede is a provider of aftermarket maintenance and repair services, replacement parts, and fabrication services for highly engineered shell and tube heat exchangers, targeting the refinery and petrochemical industries.
The filing states that the required financial statements and pro forma information are not practical to provide at this time and will be filed as an amendment to this Current Report on Form 8-K no later than 71 days after the deadline for filing this Form 8-K.