The owner of Dundee building services firm McGill has purchased Angus firm Alliance Electrical Services.
Graeme Carling, who purchased McGill from administration at the start of this year, has made his second major acquisition of the year.
Forfar-based Alliance has an annual turnover of £3.5 million and more than 50 staff.
Mr Carling said the Angus electrical, plumbing and heating firm, which celebrates its 25th anniversary next year, will retain autonomy and identity rather than becoming part of McGill.
He said: “We are excited to complete the purchase of Alliance having signalled our plan for growth through acquisition earlier this year.
“Alliance is a solid and well-performing company with strong management and an expert team.
“The business will operate as it currently does, with the support of our board of directors and team.”
Alliance Electricals’ managing director, Errol Lawrie will continue to lead the business, which delivers electrical, heating and plumbing and fire and security services across the East Coast of Scotland.
Mr Lawrie, who has led the business since 2007, said he hoped the company would continue to grow.
He said: “This is a very exciting point in the history of Alliance and this deal signifies the combined effort of our team to grow the business to this point.
“The acquisition opens up many new opportunities and I am sure that under the stewardship of Graeme and his board of directors, Alliance will continue to grow.”
Mr Carling, who also has extensive property interests, said he had plans to purchase other business next year.
He added: “We currently have a number of other acquisition targets, some of which are already at legal stages and subject to due diligence, should complete in the early stages of next year.”
McGill was bought from administration after the loss of around 400 jobs earlier this year and has been successful at winning work for councils and local authorities across Scotland.
It has subsequently opened offices in Glasgow and Aberdeen.
rmclaren@thecourier.co.uk