On July 7, 2026, MasTec (MTZ) unveiled plans to acquire The Superior Group, an electrical contracting company based in Ohio, for roughly $1.65 billion.
Following the announcement, shares tumbled 5.72%, dropping $21.78 to close at $358.85.
The transaction structure includes $1.175 billion in cash payments and $475 million worth of MasTec shares. Additionally, an earnout component based on Superior’s performance metrics over the following 36 months has been incorporated.
Based on Superior’s projected 2026 adjusted EBITDA, the acquisition represents approximately 6.9 times that figure.
Operating from Columbus, Ohio, Superior maintains a workforce of approximately 3,000 employees. As an IBEW-signatory electrical contractor, the firm delivers comprehensive solutions spanning design, construction, engineering, prefabrication capabilities, and project oversight.
The company’s revenue stream is heavily concentrated in the data center sector, representing about 90% of operations, with hyperscale clients accounting for roughly 70% of business.
For calendar year 2026, Superior forecasts revenue ranging from $1.6 billion to $1.7 billion, alongside adjusted EBITDA between $225 million and $250 million. MasTec anticipates Superior will generate $2.2 billion to $2.5 billion in revenue during 2027.
Through the balance of 2026, Superior is positioned to contribute $800 million to $900 million in revenue and $100 million to $115 million in adjusted EBITDA to MasTec’s financial performance.
Superior brings a substantial $1.4 billion project backlog and maintains a 300,000-square-foot prefabrication center — strategic assets that enhance MasTec’s operational capabilities.
The acquisition will establish Superior as a distinct group within MasTec, functioning under the Power Delivery segment umbrella. This segment’s profit margins are projected to expand into the low double-digit range from the current level of approximately 9%.
Bryan Stewart, who currently serves as Superior’s Chairman and CEO, will continue in leadership alongside the company’s existing executive team.
To finance the cash component, MasTec will utilize available cash reserves, its current credit line, and two delayed draw term loan facilities arranged in conjunction with the transaction.
The transaction is anticipated to finalize in mid-to-late July 2026, subject to antitrust regulatory clearance.
Mizuho elevated its MTZ price objective to $502 from the previous $498 target following the deal announcement, maintaining its Outperform recommendation. The investment bank observed that this acquisition completes the data center strategy MasTec presented during its May 12 analyst presentation.
Several other Wall Street firms had already adjusted their targets upward prior to this transaction. KeyBanc established a $500 target with an Overweight stance. Stifel upgraded its objective to $455, while TD Cowen advanced its target to $445 from $320. Jefferies currently maintains a $493 price target.
During Q1 2026, MasTec disclosed a 28% year-over-year expansion in backlog, with new contract awards climbing 18% compared to the prior-year period. The company’s backlog reached a record $20.3 billion as of the end of March.
MasTec conducted a conference call on Wednesday at 9:00 a.m. ET to provide details on the acquisition. Lazard served as financial advisor to MasTec in the transaction; UBS represented Superior.
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