Mayville Engineering To Acquire Accu-Fab From Tide Rock For $140.5 Mln

(RTTNews) - Mayville Engineering Co. Inc. (MEC), a value-added manufacturing company, on Tuesday announced a definitive agreement to acquire Accu-Fab, LLC from Tide Rock Holdings for $140.5 million.

The acquisition is expected to close during the third quarter.

The acquisition is expected to be immediately accretive to Mayville's Adjusted EBITDA, margin, and earnings per share, excluding one-time transaction costs.

The acquisition is projected to contribute net sales in a range of $28 to $32 million and Adjusted EBITDA between $6 and $8 million to Mayville Engineering.

Mayville Engineering's acquisition of Accu-Fab might help entry into high-growth markets and improve margins, with expected revenue synergies of $3 million to $5 million, and $1 million in cost savings by 2026.

On Friday, Mayville Engineering 0.13% lesser $15.16 on the New York Stock Exchange.