Everus Construction Group (NYSE:ECG) announced a definitive agreement to acquire Epsilon Industries for $295 million in cash, subject to customary adjustments. The transaction drove Everus shares higher, with the stock up 3.9% on Friday after the deal was revealed.
Epsilon Industries is described by Everus as a designer and manufacturer of complex, modular mechanical and electrical building infrastructure systems. With more than 25 years of experience, Epsilon provides off-site construction solutions across North America and serves sectors including data centers, advanced manufacturing and healthcare.
The acquisition price will be funded through a combination of Everus' cash on hand and borrowings under the company's credit facilities. The companies expect the deal to close in the third quarter of 2026, subject to regulatory approvals and other customary closing conditions.
For the full calendar year 2026, Epsilon is projecting revenue of approximately $250 million and EBITDA as a percentage of revenue in the low double digits. Epsilon's service offering spans design-assist, custom fabrication and turnkey field installation, supported by an extensive footprint of off-site modular construction capabilities across multiple facilities in the United States and Canada.
Leadership and integration
Everus said Epsilon President Chris Wiederick and other key leaders from Epsilon's management team are expected to remain with the company after the transaction closes. Following completion of the acquisition, Everus plans to revise its 2026 financial outlook to reflect the addition of Epsilon's operations.
Executive comment
Jeffrey S. Thiede, president and CEO of Everus, commented on the strategic rationale: "Epsilon has a strong legacy of innovation and execution in off-site construction services, and the addition of their team will expand our capabilities as we continue to deepen our focus on modular construction and prefabrication across our operations to meet customers’ growing demand."
What Epsilon does
- Design-assist and engineering support for modular building systems.
- Custom fabrication of mechanical and electrical infrastructure components.
- Turnkey field installation services for complex projects.
The business serves projects across data center, advanced manufacturing and healthcare end markets and maintains multiple production and prefabrication facilities in the U.S. and Canada.
Next steps
The timetable for closing remains conditional on regulatory sign-offs and other closing requirements. Everus will provide an updated 2026 financial forecast after the transaction has closed.
Note: This article reports details provided by the companies and presents their stated expectations and projections.