National Technical Using $14 Million in Financing for Acquisitions

Engineering services firm National Technical Systems received $14 million in funding from a private equity firm. The Calabasas-based firm plans to use the money from Mill Road Capital for one or more acquisitions. Mill Road, which invests in publicly traded micro-cap companies, is buying more than 900,000 newly issued share of National Technical common stock and putting $7 million into a subordinated note. B. Riley & Co. served as the advisor to National Technical on the deal. “We are seeing more acquisition opportunities than ever and are currently in discussions with several potential acquisition targets,” said NTS CEO William McGinnis. “We want to be financially positioned to be opportunistic whenever possible. Securing this financing meaningfully strengthens our negotiating position and will allow us to aggressively pursue strategic acquisitions.”