Exelon buys four firms for $95 million in stock, cash

Peco Energy Co. subsidiary Exelon Infrastructure Services Inc. Thursday reported four acquisitions it termed key to expanding a growing network of infrastructure services companies. EIS said the combined purchase price for the four companies was $95 million in cash and stock.


Peco Energy Co. subsidiary Exelon Infrastructure Services Inc. Thursday reported four acquisitions it termed key to expanding a growing network of infrastructure services companies. EIS said the combined purchase price for the four companies was $95 million in cash and stock.

The companies are Dashiell Corp. and Dacon Corp., Deer Park, Tex., and Lake Charles, La; Trenching Service Inc., Ypsilanti, Mich.; and the VSI Group Inc.; Columbia, Md. The four companies had combined 1999 revenues of $108 million.

The acquisitions are expected to be immediately accretive to earnings and are expected to realize annualized revenues of $125 million this year, Exelon said.

The acquisitions demonstrate progress toward the EIS goal of becoming the leading US provider of distribution infrastructure services for electric, gas, telecommunications, and cable utilities, said Greg Cucchi, EIS chief executive officer. Additional acquisitions are planned, he said.

"In the rapidly deregulating energy and communications marketplace, utilities need major turnkey design, construction, and maintenance capabilities,'' Cucchi said. "We are meeting this demand through the acquisition and consolidation of high-quality contracting partners, and by offering, through them, the widest possible range of utility distribution network services nationwide.''

Dashiell and Dacon specialize in the design, construction, testing, and maintenance of high and medium-voltage electrical facilities. The companies' primary focus is turnkey design and installation of high-voltage substations and switchyards, in utility, industrial, petrochemical, and merchant power applications.

Michigan Trenching Service is an underground utility construction contractor servicing southeastern Michigan. VSI Group is one of the world's largest metering and customer services, the company said.

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