Dycom Industries Inc., represented by Weil Gotshal & Manges LLP, unveiled Wednesday that it will acquire Power Solutions, the Maryland-based electrical contractor guided by Miles & Stockbridge PC, in a transaction valuing the company at $1.95 billion. The deal is slated to wrap before Dycom’s fiscal year ends, pending standard closing conditions.

The acquisition arrives as the generative-AI boom sweeps across the U.S., driving unprecedented demand for data-center construction and the high-voltage infrastructure needed to power these digital engines. In this shifting landscape, Dycom is positioning itself squarely where the surge in AI workloads meets the race to expand national compute capacity.

A Mid-Atlantic Powerhouse Anchored in Data-Center Growth

The announcement highlighted Power Solutions as one of the largest electrical contractors in the Mid-Atlantic, servicing data-center developers across the highly concentrated Washington, D.C., Maryland, and Virginia corridor. The firm employs more than 2,800 workers and is projected to bring in $1 billion in revenue in 2025, the companies said.

Despite the acquisition, Power Solutions will retain its brand, leadership team, and headquarters, signaling Dycom’s intention to preserve the contractor’s established influence in the region’s booming hyperscale market.

Stock, Cash and a Heavy Financing Package Fuel the Deal

Dycom will finance roughly $293 million of the purchase price with company stock, while the remainder will be funded with cash on hand, a committed $1 billion term loan, and an additional $700 million bridge loan.

CEO Dan Peyovich said the combination places Dycom at the heart of the mounting demand for digital-infrastructure buildouts led by hyperscale operators and other major tech clients.

Industry forecasts cited by the company estimate that U.S. data-center capacity will expand 20% to 25% each year through 2030, propelled by artificial intelligence, cloud workflows and escalating power requirements.

Financial Boost and Legal Teams Behind the Transaction

Dycom said the acquisition will be immediately accretive to adjusted EBITDA margins and adjusted diluted EPS, excluding non-cash amortization. Financial advisers were not disclosed.

The Weil team guiding Dycom is led by partner Michael J. Aiello, with support from partner Sachin Kohli. Information on the Miles & Stockbridge deal team was not released.