Surplec acquired by an American company

Sherbrooke-based Surplec, which specializes in the refurbishment of surplus medium- and high-voltage transformers, has been acquired by Integrated Power Services (IPS), a North American solutions provider for electromechanical equipment, rotating equipment and energy management systems, headquartered in Greenville, South Carolina.

The sale, for an undisclosed amount, includes three Surplec locations. These locations, in Sherbrooke on Godin Road, Ontario and Alberta, provide new and remanufactured transformers, repair services, equipment rental, technical field services and engineering services.

We weren’t looking for a buyer, but this was the third company to come to us with an interesting offer in the last year,” explains Mario Lambert, who founded Surplec 36 years ago. We listened. There’s a strong desire on the part of powerful players to create a one-stop shop.”

The sale was completed last month, and already the effects are being felt.

We’re seeing a rapid acceleration in demand from the U.S.,” says Lambert, who has taken a step aside to become a consultant since the sale. They killed two birds with one stone. First, they wanted to enter the Canadian market, and we have the expertise to help them in the United States. This is exactly what we were hoping for from the transaction. It’s going to bring a lot to the Sherbrooke region.

Surplec is located on Chemin Godin in Sherbrooke.

Surplec will continue to serve the regional market in Quebec and elsewhere in Canada.

Surplec is a very important addition to the IPS energy management offering,” says John Zuleger, President and CEO of IPS. Transformer services remain in high demand with transformational changes in power generation, power grid upgrades and new power management processes. Surplec’s technical expertise is immediately leveraged across IPS and our customer base.”

IPS’s acquisition of Surplec follows those of ABB’s service center in Denver, Colorado, Tampa Armature Works, National Switchgear, Evans Enterprises and Southland Electrical Group.

IPS is not the latest acquisition,” says Lambert, whose mandate is to identify other possible acquisitions. This is a company that has bought big businesses. It is building a large market force and has annual sales in excess of $900 million.”

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