Ivey Mechanical Merges With Comfort Systems USA

Denny Terrell, President of Ivey Mechanical Company, would like to announce that Ivey’s has entered into an agreement to become part of Comfort Systems USA, Inc. (NYSE: FIX). Comfort Systems is the premier mechanical and electrical contractor and service provider in the United States. Comfort Systems is headquartered in Houston, TX and has 35 operating companies with 129 locations. They are very excited about this merger, and believe that it will bring short and long term advantages to our employees, owners and customers.

Ivey Mechanical will continue to operate under the same name as Ivey Mechanical Company, LLC. Actually from an employee and operations perspective, very little will change.

Please see the below Q & A sheet on this merger.

Ivey / Comfort Systems USA Merger Q&A

Why are the owners of Ivey selling the company?

• The discussions with Comfort leadership and Ivey leadership began in April. So this was not a quick decision but one that both sides took their time and ultimately developed a strong comfort level with each other before deciding to continue with the merger.
• Ivey is not a stranger to Comfort Systems, as Ivey and Comfort have maintained a dialogue for over 20 years.
• Ivey leadership believes that becoming part of Comfort Systems will provide the best opportunities and advantages both short and long term for our employees, owners and customers.
• Both the Ivey board and the Ivey Mechanical Company, LLC Managers both unanimously approved the moving ahead with the merger.

Why is Comfort Systems USA an ideal long-term strategic owner for Ivey?

• Comfort Systems USA is an ideal long-term equity owner due to the following:
  • Aligns with our culture and vision.
  • Understands our business on both the construction and the service sides.
  • Supports Ivey’s strategy of repeat business and maintaining strong relationships with our customers.
  • Committed to keep the current management team and project teams in place with no disruption to current projects or customers.
  • Promotes collaboration and best practice sharing among Comfort System USA subsidiaries.
  • Geographically diverse Service presence.
  • Willing to invest in Ivey’s growth strategies.

Why is Comfort Systems USA interested in Ivey?

• View Ivey as a premier provider of mechanical services in the Southeast
• Share core competencies in HVAC systems, mechanical and fabrication expertise.
• Admire the leadership team’s accomplishments and long term commitment to the business.
• Ivey has locations in the Southeast that match up with Comfort Systems Offices which can share resources (materials, Pre-Fab, and manpower).
• Ivey’s footprint aligns very well with Comfort’s Service offerings and will allow both to expand the very important Service Business.
• Comfort’s Modular Construction Capabilities are available for a design/build offering to Ivey’s customers, which can reduce the stress on labor, provide the customer a quality product, and better margins for the company.
• Ivey and Comfort both have a culture that aligns very well and the strength for both is the quality of people who make the company very successful.
• Ivey and Comfort have essentially the same Core Vales:
• Be Safe
• Be Honest
• Be Respectful
• Be Innovative
• Be Collaborative

How will our customers view Comfort Systems acquiring Ivey?

We believe our customers will be very pleased with the ownership transition to Comfort Systems because:

• Ivey will be owned by larger parent company with strong, publicly available financials
• Ivey will have direct access to a number of Comfort Systems subsidiaries that have complimentary capabilities.
• Ivey will be able to better serve our customers by branching out further to cover their needs.
• Ivey will increase prefabrication capabilities through utilizing Comfort System existing resources.

What will change or will not change as a result of being acquired by Comfort Systems?

• From an employee perspective, very little will change.
• Ivey leadership will remain in place and our name will remain the same.
• All of our locations and fabrication shops will continue to operate as usual and be headquartered out of Kosciusko.
• Employees will have more training and development opportunities.
• We do expect to be able to increase investments where it makes sense to help grow our business and better serve our customers.
• We will have our company meeting at Ross Bridge in Birmingham in April celebrating Ivey’s 75^th

When did this merger officially take place?

• The merger was filed on Tuesday, November 30^th at 11:59 PM.

Thu, December 2, 2021 by Melissa Boswell Townsend From breezynews.com