Primoris Services Corporation – PRIM – Acquires Assets of the Silva Companies

Primoris Services Corporation (NASDAQ: PRIM) announced that its James Construction Group subsidiary has acquired the assets of Silva Contracting Company, Inc., Tarmac Materials, LLC and C3 Interests, LLC. Based outside of Houston, Texas, the Silva Companies provide transportation infrastructure maintenance, asphalt paving, and material sales in the Gulf Coast region of the United States.

For the year ended December 31, 2011, the Silva Companies generated revenues of approximately $24 million, the majority of which were derived from project work in the greater Houston area.

Total consideration was approximately $14 million in cash, which represents the market value of acquired real estate and equipment.

The Silva Companies will operate within James Construction Group as part of Primoris’s East Construction Services segment. Cayetano Silva III, principal manager of the Silva Companies, and his team will continue to manage the day-to-day operations of Silva Contracting.

Danny Hester, President of James Construction Group, commented, “This acquisition will strengthen our capabilities by bringing in-house a set of services and skills that we previously outsourced. The Silva Companies enhance our presence in south Texas and will provide a base for further expansion in the Gulf Coast region. The Silva Companies have earned a reputation for dedicated client focus and quality work products. We look forward to working together.”

About Primoris- PRIM

Founded in 1946, Primoris (PRIM) through various subsidiaries, has grown to become one of the largest specialty contractors and infrastructure companies in the United States. Serving diverse end markets, Primoris provides a wide range of construction, fabrication, maintenance, replacement, water and wastewater, and engineering services to major public utilities, petrochemical companies, energy companies, municipalities, and other customers.

PRIM operates in three operating segments: the East Construction Services segment, the West Construction Services segment and the Engineering segment. During the year ended December 31, 2011, East Construction Services represented 36.2% of revenues. During 2011, West Construction Services represented 60.4% of revenues. During 2011, Engineering represented approximately 3.4% of revenues. In March 2012, the Company acquired Sprint Pipeline Services, L.P. (Sprint).

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Post Written By: Ed Liston Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.