Transaction overview
Kelvin Group, a leading provider of mission-critical mechanical refrigeration services and environmental compliance solutions in the United States, completed its acquisition of PermaCold Engineering, Inc., an industrial refrigeration company based in the Pacific Northwest, on January 7, 2026. The deal's financial terms were not disclosed but represents a significant step for Kelvin to expand its footprint nationally.
Deal structure and financing
The transaction involved Kelvin Group acquiring 100% of PermaCold Engineering with no specific details on equity or debt split provided in the available information. G2 Capital Advisors served as the buy-side advisor, while legal counsel was provided by Finn Dixon & Herling for both Kelvin and Southfield Capital, the private equity firm backing Kelvin's expansion efforts. No lock-up terms or IPO optionality were disclosed publicly.
Strategic context
Kelvin Group sought to bolster its national presence and strengthen its capabilities in industrial refrigeration through this acquisition of PermaCold Engineering. Founded by industry veterans Steve Jackson and Randy Cieloha over three decades ago, PermaCold has established itself as a leader in the design and installation of ammonia and CO2 refrigeration systems across various sectors including food and beverage storage facilities. This strategic move enables Kelvin to expand its geographic coverage into key markets within the Pacific Northwest region while enhancing its technical expertise in critical areas such as process safety management.
PermaCold's founders were driven by a desire to align with an organization that shares their company’s culture and commitment to customer service excellence, making Kelvin Group an ideal acquirer given its reputation for quality workmanship and reliable support. The acquisition also supports Southfield Capital’s strategy of scaling Kelvin through organic growth alongside targeted acquisitions within the lower middle market space.
Regulatory path
As of now, no specific regulatory hurdles have been reported for this transaction. Given the nature of the deal and the involvement of financial backers like Southfield Capital, it is likely that the Federal Trade Commission (FTC) was involved in reviewing the merger under U.S. antitrust laws, although details regarding any filings or clearances remain undisclosed at this time.