Federal Signal to acquire Mega Corp for $45.5M

Federal Signal (FSS) signed a definitive agreement to acquire Mega Corp., a manufacturer of specialty vehicles and equipment for use in global metal extraction and construction markets, for cash consideration of $45.5M, subject to post-closing adjustments. The purchase price includes the acquisition of Mega’s manufacturing facility in Albuquerque, New Mexico. For nearly 50 years, Mega has designed and manufactured water distribution equipment, service bodies, and specialty haulage equipment compatible with articulated trucks, rigid-frame trucks, and wheel tractor scrapers. Mega generated net sales of approximately $40M for the year ended December 31, 2024, with aftermarket parts representing approximately 30% of net sales. The transaction is expected to be accretive to earnings and cash flow in 2026. The company anticipates completing the transaction during Q1 of 2026, subject to customary closing conditions.