Everus Construction Group bought SE&M Constructors for $158 million, adding a mechanical, electrical and plumbing contractor that brought in $109 million of revenue in 2025 and generated EBITDA margins in the high teens.
The deal was funded with cash on hand and could include an earnout of up to another 8% of the purchase price if post-closing performance targets are met.
SE&M, founded in 1923 and based in Elm City, North Carolina, gets about 65% of revenue from mechanical services. About 60% of its revenue comes from pharmaceutical and health care work, giving Everus a bigger foothold in those end markets and expanding its exposure in the Southeast.
The company has more than 200 skilled craft laborers and gets a meaningful share of business from maintenance and retrofit work, which provides recurring revenue. Everus said SE&M’s backlog has been growing, supported by demand trends and capital spending in the region.
SE&M’s capital spending in 2025 was less than 1% of revenue, and the company said it has a strong free cash flow conversion profile.
Everus said the acquisition leaves it with expected pro forma net leverage of 0.8x, giving it room for further acquisitions and organic investment. Following these announcements, the company's shares moved -6.65%, and are now trading at a price of $115.09. Check out the company's full 8-K submission here.
