Mr. Paul Bissett reports

ELEVATE SERVICE GROUP ANNOUNCES ACQUISITION OF THINK GREEN SOLUTIONS, ESTABLISHING NATIONAL LIGHTING PLATFORM

Elevate Service Group Inc. is proposing to acquire Think Green Solutions Inc. and its affiliated entities.

Think Green is a national commercial provider of premium LED (light-emitting diode) lighting solutions and services supporting national and multisite customers with product sales, installations and technical service work. The acquisition establishes a national lighting platform within Elevate and further accelerates the company's strategy of building a vertically integrated national facilities services platform.

The business specializes in portfolio rollouts and retrofits for the retail, industrial and institutional sectors across Canada and the United States. Through the acquisition, Elevate expands its ability to deliver integrated electrical, lighting and facilities maintenance services to national multisite customers.

Think Green has demonstrated strong growth over recent years, gaining traction with major location owners and operators across Canada, including retailers, grocers, property owners and industrial operators, while expanding its presence in the United States. Average revenues for 2024 and 2025 were approximately $6.3-million, with average EBITDA (earnings before interest, taxes, depreciation and amortization) margins in the 22-per-cent-to-24-per-cent range.

The acquisition aligns with Elevate's disciplined acquisition strategy and is expected to be immediately accretive to the company's earnings profile based on Think Green's historical margins and complementary service mix.

Strategic rationale

The acquisition strengthens Elevate's position as a growing national facilities services platform and provides several strategic benefits.

Establishes a high-margin national lighting vertical

Think Green adds a scalable lighting solutions capability with historical EBITDA margins exceeding 20 per cent, enhancing Elevate's overall margin profile while expanding its service offering. By integrating specialty lighting solutions with Elevate's core electrical and facilities maintenance capabilities, the company strengthens its ability to provide comprehensive, multitrade services to national accounts while improving operating leverage.

Expands cross-selling opportunities across national accounts

Think Green has developed trusted relationships with major retailers, grocers, property owners and industrial operators. These relationships create opportunities to introduce Elevate's broader facilities maintenance services, while Elevate's existing national customer base provides additional demand for lighting retrofit and installation services.

Accelerates electrical internalization and margin capture

Think Green currently subcontracts the electrical installation work. By progressively integrating these services through Elevate's internal teams and strategic partners, the company expects to improve project margins while reducing reliance on external contractors.

Strengthens vertical integration

By combining product sourcing, distribution, installation and maintenance capabilities, Elevate continues to build a vertically integrated platform capable of delivering comprehensive multitrade facility solutions to national customers.

Transaction details

The aggregate purchase price of $5.15-million comprises $1.35-million in cash, $600,000 in deferred payments, $1.45-million in common shares (representing approximately 909,100 Elevate common shares, subject to a two-year lock-up) and a $1.75-million promissory note with a three-year term accruing interest at 2 per cent, 3 per cent and 4 per cent in each respective year.

Think Green leadership

The founders and owners of Think Green are experienced entrepreneurs and operators based in Cambridge, Ont. The owners are entering into new employment agreements with Elevate and will continue to oversee operations and sales efforts, while assuming additional responsibilities across Elevate.

Management commentary

Paul Bissett, chief executive officer of Elevate, commented: "Think Green represents a strategically aligned, margin-enhancing addition to our platform. The business brings a high-quality national client base, strong historical EBITDA margins, and meaningful internalization opportunities that support both revenue growth and operating leverage as we continue scaling Elevate's integrated service model."

Romeo Di Battista Jr., chairman of Elevate, added: "Think Green is an ideal fit within our long-term strategy of building a dominant, vertically integrated national service provider. Now powered by Elevate, Think Green's specialized product capabilities and national account relationships will benefit from our expansive infrastructure, creating a more robust and scalable growth engine for the entire group."

Conditions to closing

Completion of the proposed acquisition is subject to customary conditions to closing, including finalizing definitive documentation and TSX Venture Exchange approval, and is expected to be completed in March, 2026.

Key operational hire

Separately, Elevate is pleased to announce that it has hired Luke Einwechter as vice-president of operations and integration for Elevate. Mr. Einwechter is the former owner of Einwechter Plumbing and Heating, a successful business in Ontario, and is a licensed plumber and gas fitter. He will be responsible for operational oversight, acquisitions, integration, business development and management across the company's national platform, focused on growth markets in British Columbia and other key areas outside of Ontario. Under his employment agreement, Elevate granted 30,000 stock options with a $1.50 exercise price and five-year term, with 50 per cent vesting after the third year and 50 per cent vesting after the fourth year.

About Elevate Service Group Inc.

Elevate is a national facilities management and essential commercial services platform focused on consolidating and modernizing this fragmented sector. Through its operating companies, Elevate brings over 20 years of experience as a trusted partner to national, blue-chip customers. Elevate's strategy is to integrate a portfolio of profitable operating businesses across a scalable, national platform supported by shared infrastructure, technology and operational best practices. This approach drives efficiencies, expands service offerings and enhances customer outcomes while extending Elevate's geographic reach. Elevate trades on the TSX Venture Exchange under the ticker SERV.

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