ULC Robotics Sale to SPX – Case Study


  • ULC Robotics Inc. (“ULC”) is a leading developer of robotic systems, machine learning applications, and inspection technology for the energy, utility, and industrial sectors
  • ULC operates a growing, recurring-revenue business called CISBOT which uses robotic solutions designed to rehabilitate and extend the life of natural gas distribution networks for utility customers
  • ULC also operates a custom Research & Development (“R&D”) business that provides cutting edge technology solutions to a growing base of utility and industrial customers
  • The Company is headquartered in Hauppauge, New York
  • In 2019, ULC generated approximately $40 million in revenues

Transaction Summary:

  • EC M&A advised on the sale of ULC Robotics to SPX Corporation, a leading supplier of engineered products and technologies for the HVAC, detection and measurement, and engineered solutions markets
  • ULC will report to SPX’s Detection and Measurement segment
  • ULC’s R&D business will enhance SPX’s capacity to develop advanced technology solutions, such as artificial intelligence (AI) and machine-learning, across their platforms
  • SPX’s product commercialization, market development, and brand and channel management capabilities will allow ULC’s technology and solutions to reach their full potential
  • The purchase price of approximately $90 million upfront plus 3 earn-outs result in a total consideration of up to $135 million (approximately 3.40x 2019 revenues)

EC M&A’s role:

  • EC M&A acted as the exclusive advisor to shareholders of ULC Robotics on the sale to SPX Corporation
  • EC M&A was able to articulate the attractiveness of ULC’s position in the robotic pipeline inspection industry to help buyers see a strong fit and to create a competitive process
  • EC M&A managed a highly competitive and professional sales process that included strategic and financial buyers from North America and Europe to bring in the greatest amount of interest and a premium valuation