Company: LGN
Filing Date: 2025-05-14
Form Type: DRS/A
Source: 0000950123-25-005247
Chunk: 11

Company: Legence Corp.
Filing Date: 2025-05-14
Form: DRS/A
Chunk 11
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 grew at a compound annual growth rate of 49% from 2021 to 2024, according to Dodge Construction Network, and 89% of              
 manufacturers surveyed are either moving production back to the United States or expanding their existing U.S. facilities which is resulting in increased spending on manufacturing facilities, according to a survey conducted by Rabin Roberts Research 
 on behalf of BDO in October 2023.                                                                                                                                                                                                                         |

| • |     | Growing demand for solutions that can address rising electricity prices and declining power availability.                                                                                                                                                 
 The average price of electricity in the U.S. increased 23% from 2020 to 2024, which compares to an increase of only 8% in the prior ten-year period from 2010 to 2020 according to the U.S. Energy                                                        
 Information Administration. We believe that rising power prices have prompted businesses and institutions to seek ways to make their buildings more energy efficient to mitigate the impact of rising energy costs on their operations. According to a    
 survey of 1,282 companies conducted by the Energy Efficiency Movement in 2024, 93% of businesses are planning to implement energy efficiency upgrades in the next three years and 64% of those are focused on improving their cooling system              
 specifically. According to the World Economic Forum, businesses can reduce their energy usage by as much as 49% and generate an average return on investment of 24% by making energy efficiency upgrades, according to a working paper by the Real Estate 
 Research Institute in conjunction with Lawrence-Berkeley National Laboratory. At the same time as they are confronting higher power prices, we believe that many companies’ growth plans are being constrained by utility delays in connecting their      
 new facilities to the grid as load growth outstrips available transmission capacity. Accelerating load growth has prompted regulators, utilities and businesses to implement energy efficiency programs as a lower cost and faster alternative to address 
 load growth as compared to new generation and transmission and distribution infrastructure.                                                                                                                                                               |

| • |     | Growing need for outside expertise to help meet expanding corporate sustainability goals. According to the                                                                                                                                                
 Honeywell Environmental Sustainability Index, while more than 80% of companies have established sustainability targets or goals for 2030, fewer than half of all organizations were extremely optimistic about achieving them. We believe that businesses 
 and institutions will increasingly seek outside expertise to ensure they are able to deliver on the sustainability commitments they have made to shareholders, customers and the communities where they operate. According to IDC, spending on            
 Sustainability Services is expected to