Resilience Capital Partners recently announced the acquisition of Mill City TEC, a provider of construction and technical services for the wireless sector and other industries. The transaction was completed through the private equity firm’s Aero Communications investment platform, which it obtained in 2012.
This is just the second add-on acquisition made by Aero Communications since it was absorbed into Resilience Capital Partners’ operations, potentially increasing the company’s footprint and allowing it to tap into the Upper Midwestern market. Aero Communications CEO Greg McCray stated that bringing Mill City into the fold will allow his organization to provide better wireless service to existing clientele in addition to reaching a broader range of consumers.
“Mill City is a preferred supplier of network construction services to the wireless industry,” McCray said. He continued, “This acquisition gives us the ability to do cell tower work in-house and also expands our geographic footprint.”
Telecommunication capabilities draw in national suitor
Mill City TEC offers a wide range of construction and electrical services, including excavation and emergency service and repair. For a telecommunications firm such as Aero Communications, however, one of the more enticing services Mill City provides is cellular tower construction. A given project could include a number of different processes, ranging from line and antenna installation to carrying out audits and inspections.
McCray noted that Aero Communications reviewed and benchmarked a number of other providers of wireless network construction services, but Mill City offered the right combination of skill, leadership and technological sophistication to warrant making the investment. He also cited the company’s use of best-of-breed solutions as a determining factor in the acquisition.
With approximately 1,400 technicians, engineers and other personnel on hand to deliver a wide range of telecommunications services, Michigan-based Aero Communications already had the capacity to reach a wide audience. However, bringing in Mill City as an add-on investment allows the organization to branch out into new markets.
Resilience Capital Partners Co-CEO Steven Rosen praised the acquisition of the service provider, highlighting the potential for Aerospace Communications and Mill City to mutually benefit from the arrangement, particularly in regard to meeting the demands and expectations of wireless customers.
“[The Mill City acquisition] is a perfect example of a wonderful company in its geography joining forces with a national wireless and cable communication and infrastructure service company to better serve its customers,” Rosen stated. “Aero will continue to expand its geography through investment and acquisition in support of its customers in 2014.”
It has yet to be seen whether this business transaction marks a larger trend of national telecommunications firms absorbing smaller, regional operations to expand their footprint. However, if Rosen is correct, then Aero Communications will continue to pursue opportunities to enter into mutually beneficial partnerships with wireless service providers.
