ABM INDUSTRIES INC /DE/ acquires Able Services

ABM INDUSTRIES INC /DE/ acquired Able Services for $830 million, a transaction completed in September 2021, structured as all cash.

Able Services operates in Engineering & janitorial / Business & Industry, is based in San Francisco, California (U.S.), had revenue of about $1.1 billion revenue; adjusted EBITDA of $65 million (normalized). Able Services, headquartered in San Francisco and founded in 1926, was the largest family-owned provider of building maintenance, engineering and facility operations in the United States, with revenues of $1.1 billion and adjusted EBITDA of $65 million (normalized for COVID-19 impacts). Engineering services represented roughly 60% of revenue and janitorial about 40%; its 80% unionized workforce served over one billion square feet of real estate. ABM acquired Able in a cash transaction valued at $830 million, announced August 25, 2021 and completed September 30, 2021.

This acquisition is fully aligned with the strategic plan we have developed to accelerate our revenue growth and margin expansion in the coming years. Able represents an excellent strategic and cultural fit for us, adding to our scale in engineering and janitorial services, which represent priority growth areas for ABM over the next five years.

Adds scale in priority engineering and janitorial growth areas, strengthens key geographies, brings combined engineering and technical services to almost $2 billion of annualized revenue, and expands sustainability and energy-efficiency offerings. Operating synergies of approximately $30 million to $40 million identified ABM core businesses (engineering and janitorial)