NV5 Acquires Geodynamics, Expanding Deep-Water Geospatial Capabilities

Rhea-AI Summary

NV5 Global, Inc. (Nasdaq: NVEE) has acquired Geodynamics LLC for $42 million in a cash and stock deal, enhancing its geospatial capabilities. Geodynamics specializes in sonar-based geospatial solutions and serves clients like NOAA and the U.S. Navy. The acquisition will boost NV5’s presence in oceanic geospatial projects, supporting areas such as offshore wind power and shoreline mapping. NV5 expects this acquisition to be immediately accretive to its earnings and strengthen its competitive advantage in hydrographic surveying.

Positive

• Acquired Geodynamics for $42 million, expanding NV5's geospatial capabilities.
• Immediate earnings accretion expected from the acquisition.
• Enhanced competitive advantage in hydrographic surveying projects.
• Established presence in the oceanic geospatial sector supports diverse projects.

Negative

• None.

HOLLYWOOD, Fla., March 29, 2021 (GLOBE NEWSWIRE) -- NV5 Global, Inc. (the “Company” or “NV5”) (Nasdaq: NVEE), a provider of compliance, technology, and engineering consulting solutions, announced today that it has acquired Geodynamics LLC (“Geodynamics”), a provider of sonar-based, deep-water geospatial solutions. Geodynamics’ clients include the National Oceanic and Atmospheric Administration (NOAA), the U.S. Army Corps of Engineers, the U.S. Navy, state and local agencies, and port and transportation authorities.

Geodynamics, headquartered in Morehead City, North Carolina, will operate within NV5’s Geospatial vertical, adding full-ocean depth hydrographic and geophysical surveying to NV5’s topographic and nearshore geospatial capabilities. The $42 million acquisition, which includes an earn out provision, was made with a combination of cash and stock and will be immediately accretive to NV5’s earnings.

“As the nation’s premiere provider of geospatial data solutions, we continue to pursue opportunities to expand our leading position in the geospatial market,” said Dickerson Wright, PE, Chairman and CEO of NV5. “The addition of Geodynamics gives NV5 an established presence in the oceanic geospatial sector to support projects related to offshore wind power, sea level rise, shoreline mapping, underwater habitat modeling, and nautical charting.”

“Geodynamics’ sonar-based geospatial capabilities, coupled with NV5’s existing nearshore and shallow-water riverine geospatial offerings, expands NV5 Geospatial’s marine solutions strategy and provides us with a competitive advantage for multi-solution, hydrographic surveying projects,” said Mark Abatto, President and COO of NV5 Geospatial.

“All of us at Geodynamics are excited about the expanded service offerings we can now provide our clients and growth opportunities available to our employees as a part of the NV5 organization,” said Sloan Freeman, PLS, Chief Executive Officer of Geodynamics.

About Geodynamics
Founded in 2001, Geodynamics LLC is a marine geology and coastal science consulting firm specializing in bathymetric and geophysical mapping, monitoring, and geospatial analyses. Using cutting-edge technologies and highly qualified staff, Geodynamics provides meticulous data products to support clients’ multi-disciplinary needs.

About NV5
NV5 Global, Inc. (NASDAQ: NVEE) is a provider of compliance, technology, and engineering consulting solutions for public and private sector clients supporting infrastructure, utility, and building assets and systems. The Company primarily focuses on six business verticals: testing, inspection & consulting, infrastructure support services, utility services, buildings & program management, environmental health sciences, and geospatial technology services. NV5 operates out of more than 100 offices nationwide and abroad. For additional information, please visit the Company’s website at www.NV5.com. Also visit the Company on Twitter, LinkedIn, Facebook, and Vimeo.

Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. The Company cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained in this news release. Such factors include: (a) changes in demand from the local and state government and private clients that we serve; (b) general economic conditions, nationally and globally, and their effect on the market for our services; (c) competitive pressures and trends in our industry and our ability to successfully compete with our competitors; (d) changes in laws, regulations, or policies; and (e) the “Risk Factors” set forth in the Company’s most recent SEC filings. All forward-looking statements are based on information available to the Company on the date hereof, and the Company assumes no obligation to update such statements, except as required by law.

Investor Relations Contact
NV5 Global, Inc.
Jack Cochran
Vice President, Marketing & Investor Relations
Tel: +1-954-637-8048
Email: ir@nv5.com

Source: NV5 Global, Inc.

FAQ

What is the acquisition value of Geodynamics by NV5?

The acquisition value of Geodynamics by NV5 is $42 million, which includes an earn-out provision.

When was Geodynamics acquired by NV5?

Geodynamics was acquired by NV5 on March 29, 2021.

How will the acquisition of Geodynamics impact NV5's earnings?

The acquisition is expected to be immediately accretive to NV5's earnings.

What sectors will benefit from the Geodynamics acquisition?

The acquisition will enhance support for projects related to offshore wind power, sea level rise, shoreline mapping, and nautical charting.