- Agrees to Acquire Dyna Ten Corporation in Dallas/Fort Worth, Texas -
HOUSTON--(BUSINESS WIRE)--Apr. 8, 2014--
Comfort Systems USA, Inc. (NYSE: FIX), a leading provider of
commercial, industrial and institutional heating, ventilation and air
conditioning (“HVAC”) services, today announced that it has entered into
an agreement to acquire Dyna Ten Corporation (“Dyna Ten”) headquartered
in Fort Worth, Texas.
Dyna Ten is a regional mechanical contractor based in Fort Worth, Texas.
Dyna Ten engages in a broad range of mechanical contracting projects,
HVAC service and controls, in the Dallas/Fort Worth metroplex and in
surrounding areas. Initially Dyna Ten is expected to contribute
annualized revenues of approximately $70 million to $80 million at
profitability levels that are generally equal to or above those
currently experienced by Comfort Systems USA operations.
The transaction is currently scheduled to close on or about May 1, 2014
and is subject to customary closing conditions including approval by the
shareholders of Dyna Ten Corporation. In light of the required
amortization expense related to intangibles and other costs associated
with the transaction, the acquisition is expected to make a neutral to
slightly accretive contribution to earnings per share during the first
12 to 18 months after the acquisition.
Brian Lane, Comfort Systems USA’s Chief Executive Officer, commented,
“We are extremely happy to announce that Dyna Ten is joining Comfort
Systems USA. Dyna Ten has a long history of providing extraordinary
outcomes for its customers in medical, industrial and commercial
markets. This partnership with Dyna Ten brings excellent capabilities,
resources and leadership at every level, together with a tremendous
reputation and solid customer relationships, and we expect that Dyna Ten
will continue to grow and improve for years to come. We also believe
interaction between our existing companies and Dyna Ten will strengthen
and improve our existing operations in Texas, and across all of Comfort
Systems USA.”
Comfort Systems USA® is a premier provider of business
solutions addressing workplace comfort, with 89 locations in 80 cities
around the nation. For more information, visit the Company’s website at
www.comfortsystemsusa.com.
Certain statements and information in this press release may
constitute forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. The words “believe,” “expect,”
“anticipate,” “plan,” “intend,” “foresee,” “should,” “would,” “could,”
or other similar expressions are intended to identify forward-looking
statements, which are generally not historic in nature. These
forward-looking statements are based on the current expectations and
beliefs of Comfort Systems USA, Inc. and its subsidiaries (collectively,
the “Company”) concerning future developments and their effect on the
Company. While the Company’s management believes that these
forward-looking statements are reasonable as and when made, there can be
no assurance that future developments affecting the Company will be
those that it anticipates. All comments concerning the Company’s
expectations for future revenues and operating results are based on the
Company’s forecasts for its existing operations and do not include the
potential impact of any future acquisitions. The Company’s
forward-looking statements involve significant risks and uncertainties
(some of which are beyond the Company’s control) and assumptions that
could cause actual future results to differ materially from the
Company’s historical experience and its present expectations or
projections. Important factors that could cause actual results to differ
materially from those in the forward-looking statements include, but are
not limited to: the use of incorrect estimates for bidding a fixed-price
contract; undertaking contractual commitments that exceed the Company’s
labor resources; failing to perform contractual obligations efficiently
enough to maintain profitability; national or regional weakness in
construction activity and economic conditions; financial difficulties
affecting projects, vendors, customers, or subcontractors; the Company’s
backlog failing to translate into actual revenue or profits; failure of
third party subcontractors and suppliers to complete work as
anticipated; difficulty in obtaining or increased costs associated with
bonding and insurance; impairment to goodwill; errors in the Company’s
percentage-of-completion method of accounting; the result of competition
in the Company’s markets; the Company’s decentralized management
structure; material failure to comply with varying state and local laws,
regulations or requirements; debarment from bidding on or performing
government contracts; shortages of labor and specialty building
materials; retention of key management; seasonal fluctuations in the
demand for HVAC systems; the imposition of past and future liability
from environmental, safety, and health regulations including the
inherent risk associated with self-insurance; adverse litigation
results; an increase in our effective tax rate; a cyber security breach;
and other risks detailed in our reports filed with the Securities and
Exchange Commission.
For additional information regarding known material factors that
could cause the Company’s results to differ from its projected results,
please see its filings with the SEC, including its Annual Report on Form
10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K.
Readers are cautioned not to place undue reliance on forward-looking
statements, which speak only as of the date hereof. The Company
undertakes no obligation to publicly update or revise any
forward-looking statements after the date they are made, whether as a
result of new information, future events, or otherwise.
Source: Comfort Systems USA, Inc.
Comfort Systems USA, Inc.
William George, (713) 830-9600
Chief
Financial Officer