Quanta Services acquires Tri-City Group

Deal Analysis

Quanta Services' acquisition of Tri-City Group for $1.73 billion represents a significant strategic move to bolster its position in the electrical infrastructure services market. Tri-City Group, along with Billings Flying Service, Tri-City Group, Inc., and Wilson Construction Company, expands Quanta's capabilities in delivering critical-path solutions for the load center and other markets, leveraging its craft-skilled platform. This acquisition allows Quanta to enhance its service offerings and potentially capture a larger share of the growing demand for electrical infrastructure upgrades and maintenance across the United States.

Acquisition value of $1.73 billion indicates a substantial investment in the electrical infrastructure sector.
Quanta Services, a major player in infrastructure solutions, is the buyer.
Tri-City Group expands Quanta's service offerings and market reach.
The deal focuses on transmission infrastructure within the United States.

Market Context: The electrical transmission sector in the United States is experiencing increased investment driven by aging infrastructure, renewable energy integration, and growing electricity demand. This acquisition reflects the ongoing consolidation and strategic positioning within this dynamic market.

Source Intelligence

KEY DETAILS

The former owners of one of the businesses acquired during this period are eligible for a potential contingent consideration payment of up to $100 million, to the extent the acquired business achieves certain financial and other operating performance targets during a two-year measurement period. Quanta funded the cash portion of the transactions with drawings under its commercial paper program. In 2026, we expect these acquisitions to contribute approximately $0.40-$0.50 of adjusted EPS. The financial contribution from these companies will be primarily included in the Electric segment.

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Deal Size

The aggregate upfront consideration for these transactions was approximately $1.73 billion, consisting of approximately $1.54 billion in cash, subject to customary adjustments, and approximately $187 million in Quanta common stock.

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Location

Tri-City, headquartered in Davenport, Iowa, and founded in 1895, is a premier inside electrical services company, with strong custom fabrication capabilities and other complementary infrastructure services, which expands Quanta's craft-skilled platform to deliver critical-path solutions for the load center and other markets. Tri-City operates primarily in the Midwest and eastern portions of the United States, with approximately 2,200 employees.

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Financials

The aggregate upfront consideration for these transactions was approximately $1.73 billion, consisting of approximately $1.54 billion in cash, subject to customary adjustments, and approximately $187 million in Quanta common stock.

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Announcement

HOUSTON , Feb. 19, 2026 /PRNewswire/ -- Quanta Services, Inc. (NYSE: PWR ) today announced results for the three and twelve months ended December 31, 2025.

PARTIES MENTIONED IN SOURCE

Q

Quanta Services buyer

"During the fourth quarter of 2025, Quanta completed the acquisition of Tri-City Group, Inc."

T

Tri-City Group seller

"During the fourth quarter of 2025, Quanta completed the acquisition of Tri-City Group, Inc."

high quality Enriched Feb 19, 2026