Stellex Capital Management Acquires Electrical Services Provider ICS Holding

New platform investment in ICS will look to support organic growth initiatives and pursue strategic acquisitions to expand its offerings and geographic footprint

Stellex Capital Management (“Stellex”), a New York-based middle-market private equity firm, announced today that it has completed an acquisition of Industrial Construction Services Holding (“ICS” or the “Company”), a leading provider of electrical services. Financial terms of the transaction were not disclosed.

ICS delivers a comprehensive suite of mission-critical electrical solutions to support customers’ operations and ensure reliability across their sites. The Company’s service capabilities include design solutions, industrial installations, in-plant service and maintenance, outage planning, low-voltage, and medium-voltage cable and terminations, energy management, pipeline integrity, generator installation and maintenance, control systems installation and repair. Through consistent execution and reliable service, ICS has built a strong reputation across diverse sectors including industrial, food, heavy commercial, healthcare, energy and power, and institutional. The Company uniquely combines the specialized capabilities and technical expertise of a large-scale provider with the agility and responsiveness of a local partner serving throughout the Southern United States. With strategically located facilities across Florida, Alabama, Texas, Arkansas, Louisiana, Tennessee, and North Carolina, ICS deploys its skilled workforce of over 1,300 professionals to serve customers in their core regions while maintaining a team of traveling technicians to support customers nationwide. Through its customer-centric approach and strong track record, ICS serves as a trusted long-term partner to many of the region's leading organizations, helping them maintain and upgrade their critical electrical infrastructure while minimizing operational disruptions.

Stellex is partnering with the talented ICS management team, led by Cory Borchardt. Together, Stellex and ICS leadership intend to invest in organic growth initiatives and will aim to pursue strategic acquisitions in an effort to expand the Company’s offerings and geographic footprint. ICS will also seek prospective acquisitions into other complementary mission-critical services that would further provide customers with a comprehensive set of electrical solutions offerings.

“We are excited to join forces with Stellex, a partnership that we believe will enable ICS to embark on the next chapter of growth,” commented Mr. Borchardt. “ICS has built a strong foundation of trust delivering safe, efficient, and cutting-edge solutions to our partners and clients utilizing our highly skilled workforce of professionals and technicians. With Stellex’s resources, expertise, and shared vision, we are confident in our ability to accelerate growth, expand opportunities for our team and deliver even greater value to our clients and partners.”

"We are thrilled to partner with the ICS team and embark on this next chapter of transformation," said Olivia Zhao, Principal at Stellex. "We believe the Company has demonstrated an impressive track record and a truly differentiated service offering and we look forward to leveraging our resources to continue to build on that strong foundation. Our team sees strong opportunities to expand ICS' services capabilities and geographic footprint while keeping our customers at the heart of every decision. Our commitment is to provide comprehensive consistent solutions and maintain the highest standards of service, ensuring our valued customers receive the best possible support."

Tom Cassidy, Vice President at Stellex added, “We believe ICS’s technical expertise, breadth of service offerings, commitment to safety, and strong reputation in its markets, position the Company as a preferred partner in meeting its customers’ continuously evolving and complex electrification needs. We are very excited to work with the ICS team with the goal of driving the next phase of growth and success.”

Stellex evaluated ICS alongside a group of advisors with significant experience spanning mechanical, electrical, and plumbing services. The Board of Directors will include John Boncher, former President and CEO of Cupertino Electric, bringing decades of electrical industry leadership.

Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel to Stellex. Houlihan Lokey represented ICS Holding LLC as a financial advisor on the transaction.

About ICS Holding

Established in 2018, Industrial Construction Services Holding ("ICS") is a leading provider of essential electrical and instrumentation contracting and maintenance services to industrial and commercial end markets. Over its 50-year operating history and with a highly skilled and nimble workforce of over 1,300 professionals, ICS has established a strong reputation for consistent execution, technical expertise, and maintaining high safety standards across its operations, demonstrated by its 10+ year tenure with enterprise-level customers. This foundation has enabled ICS to emerge as the partner of choice across the Southeast, where customers value the Company's unique ability to handle both complex large-scale projects and time-sensitive specialty jobs.

Additional information about ICS is available at www.icsholdingllc.com.

About Stellex Capital Management LLC

With offices in New York, Pittsburgh, Detroit, and London, Stellex Capital is a private equity firm with over $3.9 billion in AUM. Stellex seeks to identify and deploy capital in opportunities that stand to benefit from its operationally focused and hands-on approach to investing. Portfolio companies are supported by Stellex’s industry knowledge, operating capabilities, network of senior executives, strategic insights, and access to capital. Sectors of particular focus include aerospace, defense & government services, transportation & logistics, manufacturing, real economy & business services, industrial tech, food processing and tech-enabled services.

Additional information may be found at www.stellexcapital.com.

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