Shermco Expands Power Systems Engineering Capabilities with Acquisition of R3L Engineering

Strategic acquisition enhances Shermco's Southeastern footprint with expanded operations near Birmingham, Alabama

IRVING, Texas, May 20, 2025 /PRNewswire/ -- Shermco Industries, a leader in electrical testing, engineering, maintenance, and repair, announced today the acquisition of R3L Engineering (R3L). This strategic acquisition strengthens Shermco's presence in the Birmingham, Alabama area, expands its technical workforce, and enhances its ability to serve customers across Alabama, the Southeast, and beyond. Terms of the transaction were not disclosed.

R3L specializes in the engineering design, installation, upgrade, and maintenance of power delivery systems, helping industrial customers achieve reliable, long-term system performance.

"R3L brings a highly skilled team with decades of industry experience and a proven track record of delivering engineered solutions across all voltage and vintage ranges," said Phil Petrocelli, CEO of Shermco Industries. "This partnership supports our continued commitment to providing best-in-class expertise and reliability for critical power systems."

The acquisition expands Shermco's regional workforce, bolsters its technical capabilities and depth of engineering workforce, and positions the company for continued growth in industrial markets. With combined local expertise and expanded resources, Shermco is well-equipped to support customers with construction, system upgrades, and ongoing maintenance needs.

Shermco is majority-owned by San Francisco-based Gryphon Investors, a leading middle-market private investment firm.

About Shermco
Headquartered in Irving, TX, Shermco provides electrical testing, maintenance, commissioning and repair services to a wide range of utility, industrial, energy and other end markets. With more than 40 locations, Shermco serves a diversified blue-chip client base across North America. The Company is an active participant in NETA (the InterNational Electrical Testing Association), EASA (Electrical Apparatus Service Association), and AWEA (American Wind Energy Association). For more information, visit www.shermco.com.

About Gryphon Investors
Gryphon Investors is a leading middle-market private investment firm focused on profitably growing, competitively advantaged companies in the Business Services, Consumer, Healthcare, Industrial Growth, Software, and Technology Solutions & Services sectors. With approximately $10 billion of assets under management, Gryphon prioritizes investments in which it can form strong partnerships with founders, owners, and executives to accelerate the building of leading companies and generate enduring value through its integrated deal and operations business model. Gryphon's highly differentiated model integrates its well-proven Operations Resources Group, which is led by full-time, Gryphon senior operating executives with general management, human capital acquisition and development, treasury, finance, and accounting expertise. Gryphon's three core investment strategies include its Flagship, Heritage, and Junior Capital strategies, each with dedicated funds of capital. The Flagship and Heritage strategies target equity investments of $50 million to $500 million per portfolio company. The Junior Capital strategy targets investments of $10 million to $25 million in junior securities of credit facilities, arranged by leading middle-market lenders, in both Gryphon-controlled companies, as well as in other private equity-backed companies operating in Gryphon's targeted investment sectors.

Shermco Contact:
Drew Johns
Vice President, Corporate Development
Shermco Industries
[email protected]

For Gryphon:
Caroline Luz
Lambert
[email protected]

View original content:https://www.prnewswire.com/news-releases/shermco-expands-power-systems-engineering-capabilities-with-acquisition-of-r3l-engineering-302459461.html

SOURCE Gryphon Investors