Emory Industrial Services Sells Its Midwest Division to Premium Plant Services
Divestiture frees up Emory to focus its resources in Southwestern and Southeastern United States
DES MOINES, Iowa–(BUSINESS WIRE)–Emory Industrial Services Inc. (“Emory”), a market leader in a variety of industrial services, robotics services and dry ice manufacturing, announced it has sold its Midwest Division to Minnesota-based Premium Plant Services Inc. (“Premium”). This sale enables Emory to consolidate a large majority of its resources in the Southwestern and Southeastern United States, as these two regions currently produce well over 80 percent of Emory’s annual revenue.
Back in early September, Emory officially moved its headquarters from Des Moines, Iowa, to Abilene, Texas. This move was made in recognition of the substantial customer base the company has built in various southern states since Emory’s founding just over four years ago. Emory’s divestiture of its Midwest Division is just one of several moves the company is making to better position itself for the future.
“It was a difficult decision to sell our Midwest Division. Our team has been doing a solid job growing the business, but our board determined the deal with Premium made sense,” said Harley Burnett, Emory’s new chairman and CEO. “We can now focus our full attention on several southern states where most of our revenue is generated, along with building out our robotics services business and our ever-growing dry ice manufacturing business.”
Burnett continued, “Our Midwest customers are in great hands with Mark Parenteau and the rest of his team at Premium, and our former Emory staff will do a great job at Premium. They know the market well and they will continue to provide exceptional customer service.”
Travis Correll, chief operating officer for Emory, agreed with Burnett’s assessment of the Midwest Division sale, but also emphasized the importance of it in relation to the company’s long-term growth moving forward.
“A laser-like focus must permeate every aspect of our business going forward, as our financial performance depends on it,” stated Correll. “This deal offers us a more geographic focus and better enables us to deploy resources to serve customers. It also provides us with additional resources we can invest in our robotics services and dry ice manufacturing, as both of these business units are growing rapidly and the customer demand within each category is significant.”
As a business, Correll said Emory is always looking for opportunities to improve its product and service offerings for customers, increase sales, enhance operational performance, and build long-term shareholder value.
“Even though this transaction represents the sale of one business unit, it is important to note that we have also acquired three other companies this year alone,” offered Correll. “This clearly demonstrates we are bullish on the future of both the industrial services space and the dry ice manufacturing business – so, our merger and acquisition window is always open for the right opportunity.”
The transaction was structured as an all-cash deal and officially closed on Wednesday, November 30, 2022. Exact terms of the deal were not disclosed. The transaction was unanimously approved by the boards of directors for both companies. Nyemaster Goode served as legal counsel for Premium, and Faegre Drinker served as legal counsel for Emory.
“We are very pleased to complete this transaction with Emory, and I appreciate their work with my team to get this deal across the finish line. It is always great to acquire a business with three-fold, year-over-year revenue growth, as growth of this nature gives me great confidence in the book of business we just acquired,” noted Mark Parenteau, Premium’s CEO.
Burnett stated that Emory’s prior working relationship with Premium made the sale possible and also helps pave the way for continued collaboration.
“As two, customer-centric companies, Premium and Emory have worked together during the past few years to provide specialized subcontracting services for one another, and that subcontracting relationship is going to do nothing but grow in the months and years ahead,” noted Burnett. “The synergies between us are unmistakable, so I look forward to seeing what our two companies might accomplish together in the future.”
About Emory Industrial Services
Headquartered in Abilene, Texas, Emory is an eco-friendly industrial services company that specializes in cleaning, maintaining and repairing heavy industrial equipment, machinery and production plants for customers in an array of industry sectors, including oil and gas, food and beverage, power generation, manufacturing, agriculture, construction and many others. Since its founding just over four years ago, Emory has grown to employ nearly 200 people and generate annual revenues of approximately $30MM. For more information, visit: www.emoryindustrial.com.
Contacts
Harley Burnett
Chairman & CEO, Emory Industrial Services
harley.burnett@emoryindustrial.com
(515) 282-8449
Travis Correll
Chief Operating Officer, Emory Industrial Services
travis.correll@emoryindustrial.com
(515) 282-8449
