Benzinga | Dec 27, 2021 11:10AM EST

Bowman Expands Texas Operations With Acquisition Of Terra Associates

Bowman Consulting Group Ltd (NASDAQ:BWMN) has agreed to acquire Terra Associates, Inc., for an undisclosed sum.

* Terra is a Houston, Texas-based private firm that delivers civil design and engineering solutions to clients focused on traffic and transportation planning, water-wastewater solutions, landscape and irrigation systems, office and industrial facilities, and multi-family development.

* The company expects the acquisition to be immediately accretive and initially contribute ~$5.5 million of annualized net service billing.

* The company has financed the transaction with a combination of cash, seller financing, and stock. It held cash and cash equivalents of $38.75 million as of September 30, 2021.

* "This will be our last acquisition in 2021, and it brings our annualized acquired revenue for the year to ~$36 million. The Terra acquisition is within our target multiple ranges, and it meets all of our objectives for operating performance metrics," commented CFO Bruce Labovitz.

* The company expects to close the deal on December 31, 2021.

* Price Action: BWMN shares are trading lower by 0.46% at $21.80 on the last check Monday.