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Bowman's acquisition of Richter & Associates grows revenue through enhanced services.
FREMONT, CA: "The acquisition of Richter demonstrates our continued commitment to increasing the contribution of power and utility assignments to our revenue mix," said Gary Bowman, CEO of Bowman. "Evolving complexity of end use, combined with increasing load demand, is forcing utilities to rethink their approach to system extension, capacity management, interconnectivity, and last-mile design. Steve has built a business uniquely positioned to address the need for integrated dry utility engineering inherent in all infrastructure projects. Every structure built requires coordinated orchestration of last-mile utility engineering and interconnection with multiple utility providers. Richter has built a solid foundation of experience and an impeccable reputation from which we can grow this service nationally. There is tremendous revenue synergy to be derived from this combination."
Bowman Consulting Group revealed the purchase of Richter & Associates, a Rockville, Maryland-based professional service provider in dry utility infrastructure engineering. The acquisition of Richter allows the contribution of around USD 5.5 million of annualized net service billing before revenue synergies and be immediately accretive.
A combination of cash, seller notes, and equity was used to finance the acquisition, which met Bowman's acquisition metrics.
"As development issues relating to electric, natural gas, telecommunications, alternative energies, streetlighting, and traffic signaling became more complex, development costs escalated, and frustration increased," said Steve Richter, founder, and CEO of Richter. "An opportunity presented itself for a firm to navigate and intercede with utilities and public agencies on behalf of infrastructure planners, developers, and owners. We have had great success over the years and have built lasting customer relationships. We feel that this is the right time to join a bigger firm to expand our reach and breadth of services and accelerate our growth. We are excited to become part of Bowman and look forward to adding value to their national platform."
