WPCS International Inc. (WPCS), Exton, Pa., a provider of design-build engineering services for communications infrastructure, has completed its acquisition of Midway Electric Co., St. Helens, Ore. The purchase price was $400,000 in cash.
Founded in 1983, Midway Electric is an electrical contractor specializing in low- and high-voltage electrical services. The company focuses on industrial and commercial projects and has customers including Armstrong World Industries, Knife River Corp., and the city of St. Helens.
According to a press release announcing the acquisition, Midway Electric generated $2.2 million in revenue and approximately $120,000 in earnings before interest and taxes for its last fiscal year ended March 31, 2008. The transaction closed on March 9, 2009, and the company will be assimilated directly into Major Electric, a wholly owned subsidiary of WPCS.
Jim Jordan, subsidiary president for WPCS, said in that release, “For over twenty-five years, Midway Electric has established itself as a company with an outstanding reputation for cost-effective and high-quality electrical services. The acquisition of Midway Electric allows us to achieve one of the goals we set for expansion in the Portland, Oregon, market.”
In other news at the company, WPCS announced in January that it had received approximately $10 million in new projects, including work for the University of California, San Jose State University, Nevada Department of Transportation, Nortech Systems, New Jersey Department of Transportation, Mohegan Sun and the St. Louis Port Authority, as well as several new contracts in Australia and China. In addition, WPCS was selected by Caltrain, the California based commuter rail line, to install five 60-foot towers that will support tilt-down antennas. The project also includes the installation and testing of new radio equipment to support wireless communications for the rail line. The contract is valued at approximately $2 million.
The company also worked as a consultant on the reconstruction of World Trade Center buildings 2, 3 and 4 and the design of a wireless in-building radio system to ensure the reliable communication for all emergency agencies including the Port Authority, FDNY and the NYPD.
In a press release announcing the new contracts, Jim Heinz, WPCS's executive vice president said, “We are still seeing a number of projects to bid in the markets we serve. The new contract awards have allowed us to maintain a solid backlog of activity, and we remain encouraged that there are infrastructure opportunities for our design-build engineering capabilities in the public services, health-care and energy markets.”
WPCS is a publicly held company that trades under the stock symbol “WPCS” on the NASDAQ. The company's total revenue for its most recent fiscal year ending April 30, 2008 was approximately $101.4 million.