Management to Host Conference Call Tuesday, March 25, 2025, at 5:30 p.m. ET
Expected to be immediately accretive
Adds $6.0 million of annual unaudited revenue and $0.8 million of annual unaudited adjusted EBITDA
#1 Service and Repair plumbing company in its market
Latest acquisition under the Kingsway Search Xcelerator platform
CHICAGO, ILLINOIS / ACCESS Newswire / March 17, 2025 / (NYSE:KFS) Kingsway Financial Services Inc. ("Kingsway" or the "Company") today announced the formation of Plumbing Holdco LLC ("Kingsway Skilled Trades") and the acquisition of the privately-held M.L.C. Plumbing LLC d/b/a Bud's Plumbing ("Bud's Plumbing"), a 100+ year old service and repair plumbing company serving residential and commercial customers for $5.0 million, plus transaction expenses and a working capital adjustment, in a transaction funded with cash on hand and a $1.25 million seller note. Operator-in-Residence ("OIR") Rob Casper will be transitioning into the day-to-day operating role as CEO of Kingsway Skilled Trades following the transaction, while Mark Corn will stay on as President of Bud's Plumbing for a one-year transition period.
Management will host a conference call Tuesday, March 25, 2025, at 5:30 p.m. ET to discuss the transaction.
J.T. Fitzgerald, Kingsway President and CEO, said, "The formation of Kingsway Skilled Trades and the acquisition of Bud's Plumbing aligns nicely with our growing Xcelerator portfolio. Bud's Plumbing has proven itself over the past century as a trusted, reliable and honest partner for its residential and commercial clients through its dedication to quality workmanship and we intend to maintain the delivery of outstanding benefits to the company's customers. Rob's background and professional experience are uniquely suited to building a much larger Skilled Trades platform through a combination of organic growth and future acquisitions."
Bud's Plumbing & Repair Service, established in 1920, has been a cornerstone of the Evansville, Indiana community for over a century. Renowned for their reliable, honest, and hardworking approach, they offer a comprehensive range of plumbing services, including emergency repairs, drain cleaning, water heater installations, and water treatment solutions. Their commitment to upfront pricing and customer satisfaction has earned them recognition as the "Best of the Best" in the Tri-State area for three consecutive years.
Rob Casper, Kingsway Operator-in-Residence and newly appointed CEO, said "I'm excited to join the Bud's Plumbing family. This team has been keeping the water flowing smoothly in Evansville for over 100 years. Their dedication to honest, top-notch service is something I deeply admire. I can't wait to roll up my sleeves and work alongside these fine folks to continue delivering the quality and reliability our community has come to trust."
Mark Corn, President of Bud's Plumbing, shared "We are thrilled to be partnering with such a reputable company and confident that this will lead to a successful future. We look forward to working with Kingsway and continuing to provide great service to our customers."
The transaction was structured as a purchase of all the issued and outstanding membership interests in M.L.C Plumbing, LLC. Holland & Knight LLP served as legal counsel to Kingsway.
Conference call information will be provided in advance of March 25, 2025.
About the Company
Kingsway is a holding company that owns or controls subsidiaries primarily in the business services and extended warranty industries. The common shares of Kingsway are listed on the New York Stock Exchange under the trading symbol "KFS."
The company serves the business services industry through its operating subsidiaries within its Kingsway Search Xcelerator ("KSX") segment:
B2B Services
Ravix Group (ravixgroup.com), CSuite Financial (Csuitefinancialpartners.com)
Image Solutions (istechology.com)
Healthcare Services
Digital Diagnostic Imaging (ddimagingusa.com)
Secure Nursing Services (securenursing.com)
Vertical Market Software
Systems Products International (spisoftware.com)
Kingsway Skilled Trades
Bud's Plumbing (budsplumbing.com)
The company serves the extended warranty industry through its operating subsidiaries within its Extended Warranty segment:
Auto Warranty
IWS (iwsgroup.com)
Penn Warranty (pennwarranty.com)
Preferred Warranties (preferredwarranties.com)
HVAC/Facility Warranty
Trinity Warranty Solutions (trinitywarranty.com)
Additional Information
Additional information about Kingsway, including a copy of its Annual Reports can be accessed on the EDGAR section of the U.S. Securities and Exchange Commission's website at www.sec.gov, on the Canadian Securities Administrators' website at www.sedar.com, or through the Company's website at www.kingsway-financial.com.
For Investor Inquiries:
Hayden IR
James Carbonara
(646) 755-7412
james@haydenir.com
For Company Inquiries:
Kingsway Financial Services Inc.
Kent Hansen, CFO
(312) 766-2163
khansen@kingsway-financial.com
SOURCE: Kingsway Financial Services, Inc.
