Toronto, Ontario--(Newsfile Corp. - November 26, 2025) - Elevate Service Group Inc. (TSXV: SERV) ("Elevate") is pleased to announce that it has entered into a letter of intent to acquire an Ontario-based electrical services business (the "Target").
The Target is a specialized electrical contractor with a growing portfolio of recurring service contracts across Kitchener/Waterloo, Guelph, London, and the western Greater Toronto Area. The business brings deep expertise in complex electrical work for the food processing and manufacturing sectors, a roster of repeat commercial customers, and an expanding preventative-maintenance offering.
The proposed transaction values the Target at approximately $1.5 million, consisting of $1.2 million in Elevate common shares (calculated using an average trading price prior to closing) and $0.3 million in cash. The Elevate shares issued will be subject to a two-year lock-up. The vendor will join Elevate in an operational leadership role under a new employment agreement.
Strategic Rationale
The acquisition would directly support Elevate's strategy of building an integrated, national leader in facilities management by adding scale and operational capabilities:
Revenue Growth and Diversification: The Target would add a high-quality book of repeat customers and service orders, generating new cross-selling opportunities across Elevate's platform.
Expanded Skilled Trades: The Target's licensed electricians would reduce Elevate's reliance on regional subcontractors, further driving technician internalization efforts.
Operational Efficiencies: The Target's facility would establish a new regional operations hub for inventory and parts storage, reducing technician travel time, increasing utilization, and improving margins.
The Target has historically generated annual revenue between $3.2 million and $3.5 million, with the current fiscal year ending January 31, 2026 revenue forecast to exceed $4 million. EBITDA margins for the current fiscal year are forecast to be approximately 16 to 18%. All financial information is unaudited.
The transaction is anticipated to close in December 2025, subject to customary conditions and regulatory approvals.
Elevate Service Group Inc.
Elevate is a national facilities management and essential commercial services platform focused on consolidating and modernizing this fragmented sector. Through its operating companies, Elevate brings over 20 years experience as a trusted partner for national, blue-chip customers. Elevate's strategy is to integrate a portfolio of profitable operating businesses across a scalable, national platform with shared infrastructure, technology integration, and operational synergies. The result is superior customer outcomes, more comprehensive services and expanded market reach. Elevate trades on the TSX Venture Exchange under the ticker "SERV".
Cautionary Note Regarding Forward-Looking Information
This press release contains statements that constitute "forward-looking information" ("forward-looking information") within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking information and are based on expectations, estimates, and projections as of the date of this news release. Any statement that discusses the proposed acquisition and its expected closing date, and other predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events, or performance (often but not always using phrases such as "expects", "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budgets", "schedules", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events, or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information.
In disclosing the forward-looking information contained in this press release, the Company has made certain assumptions, including that regulatory approvals for the proposed acquisition will be received. Although the Company believes that the expectations reflected in such forward-looking information are reasonable, it can give no assurance that the expectations of any forward-looking information will prove to be correct. Known and unknown risks, uncertainties, and other factors may cause actual results and future events to differ materially from those expressed or implied by such forward-looking information. Such factors include but are not limited to: failure to receive regulatory approvals for the proposed acquisition; and general business, economic, competitive, political, and social uncertainties. Accordingly, readers should not place undue reliance on the forward-looking information contained in this press release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking information to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking information, or otherwise.
Cautionary Note Regarding Non-IFRS Measures
This press release makes reference to certain Non-IFRS measures that do not have a standardized meaning under IFRS and therefore may not be comparable to similarly titled measures presented by other publicly traded companies. The Company includes these measures as a means of measuring financial performance. More specifically, the Company makes reference to the following Non-IFRS measures:
EBITDA is defined as earnings before interest, taxes, depreciation and amortization.
EBITDA margin is defined as the percentage of revenue that has turned into EBITDA.
For further information, please contact:
Elevate Service Group
Paul Bissett, CEO
Harjit Brar, CFO
info@elevateservicegroup.com
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Elevate Service Group Inc.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/275937
SOURCE: Elevate Service Group Inc.