Bowman Consulting Group Ltd. (NASDAQ: BWMN), a national engineering services firm specializing in infrastructure design solutions, has announced its acquisition of Element Engineering LLC, a civil, water, and wastewater engineering services firm based in Lakewood, Colorado. Element Engineering serves rural communities and specialty districts across the Rocky Mountain West and Midwest, providing professional, innovative, and cost-effective engineering solutions. The firm primarily works with municipal clients, aiming to meet each client’s unique needs and specifications.
“Element adds significant depth to our expanding national water-wastewater practice and enhances our presence in Colorado,” said Gary Bowman, chairman and CEO of Bowman. “Nick and his team have built a successful business by focusing on relationship building and exceptional client service. Their proximity to our Denver operations presents an excellent opportunity to leverage mutual relationships and resources. I am confident this will be a successful combination of cultures, customers, and opportunities.”
Nicholaus Marcotte, founder and president of Element, stated, “We established Element to provide civil, water, and wastewater engineering to smaller water authorities and municipal clients underserved by larger firms. Partnering with Bowman allows us to continue serving these clients while accessing greater resources and a broader range of services. We also look forward to engaging in a wider variety of local and non-local projects, marking an exciting new chapter for Element. We are excited about this next phase of our company’s growth and evolution.”
The acquisition, financed through a combination of cash, seller notes, and equity, falls within previously discussed target multiples and operating metrics. Bowman expects the acquisition to contribute an annualized net service billing run rate of approximately $4.0 million and to be immediately accretive. Additional details on M&A activities, pipeline, and guidance updates will be provided in scheduled quarterly and annual communications.
