Commercial & Industrial Facilities Services First Half 2025 Report
Between June 2024 and June 2025, there were 152 recorded M&A transactions within the industrial and commercial facility services sector across the United States and Canada. Between June 2024 and June 2025, there were 152 recorded mergers and acquisitions (M&A) transactions within the industrial and commercial facility services sector across the United States and Canada. The deal flow remained consistent throughout the year, with monthly volumes ranging from 1 to 15 transactions. Despite challenges in the broader M&A market due to interest rate volatility and tighter credit conditions, the commercial & industrial facilities services sector experienced growth driven by long-term factors such as infrastructure modernization, regulatory compliance, geographic expansion, and the increasing demand for larger facilities and data centers.
HVAC & Mechanical and Electrical Contracting companies experienced significant activity, driven by strong buyer interest in businesses that demonstrate robust revenue growth, stable profit margins, and consistent demand for essential services. Industrial Cleaning & Environmental Services also showed notable activity, with Waste & Recycling Services transactions gaining modest traction towards the end of the period. Transaction volume remained concentrated in middle market businesses that offer a broad range of services, geographic density, and a strong reputation.
Strategic buyers have adopted a selective yet proactive approach, focusing primarily on bolt-on acquisitions to enhance their business segments and presence. Waste Management’s acquisitions of Miller Recycling and WB Waste Solutions, for example, were intended to strengthen service offerings and expand the company’s geographic reach within the Washington, D.C. area. Similarly, Republic Services enhanced its presence in the Midwest and expanded its portfolio of waste treatment and solidification sites through the acquisitions of Town and Country Sanitation, Peterson Sanitation, and Shamrock Environmental Corporation.
Private equity activity remained steady, primarily driven by roll-up strategies focused on consolidation. Pye-Barker Fire & Safety, mainly under the control of Atlas Partners LP, emerged as the most active private equity-backed platform company in the commercial and industrial facilities services sector. Since June 2024, it has completed 11 acquisitions, including two in the first half of 2025. The recent investments in June 2025 from the Abu Dhabi Investment Authority and GIC are anticipated to facilitate further growth for the Company and promote additional industry consolidation through the expansion efforts of Pye-Barker Fire & Safety.
