Annual report pursuant to Section 13 and 15(d)

Related-Party Transactions

v3.8.0.1
Related-Party Transactions
12 Months Ended
Dec. 31, 2017
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure [Text Block]
Note 19 – Related-Party Transactions
 
Successor
 
Upon consummation of the Business Combination, a note receivable due from Limbach Management Holding Company, LLC (“LMHC”) together with accrued interest, was repaid, a management services agreement with LMHC and an affiliate of another equity member, FdG Associates LLC, to perform certain advisory and consulting services was terminated, and the subordinated debt held by the majority owner of the Company was repaid and terminated. See Predecessor discussion below.
 
Predecessor
 
In 2002, LMHC contributed capital of $4.0 million to LHLLC, of which $1.0 million was evidenced by a note payable to the Company which was included in Members’ Equity. The interest rate on the note was 6.0%. The note matured upon the earlier of the date of a change in control (as defined in the note), the date that was one year after the consummation of an initial public offering of the Company, or the date on which there was a dissolution of the Company. If accrued interest was outstanding, interest receivable related to the note was included in other assets. The note, together with accrued interest, totaling $1.0 million, was paid at the consummation of the Business Combination on July 20, 2016.
 
LHLLC also had a management services agreement with LMHC and an affiliate of another equity member, FdG, for LMHC and FdG to perform certain advisory and consulting services. In consideration for such services, the Company was charged a quarterly fee of $0.1 million by LMHC and $0.2 million by FdG. Under these agreements, the Predecessor incurred related costs totaling $0.7 million for the period from January 1, 2016 through July 19, 2016.
 
As detailed in Note 10 – Debt, the Company had a Subordinated Debt which was held by the majority owner of the Company. The Subordinated Debt contained similar covenants to the senior credit facility. This Subordinated Debt balance of $23.6 million was repaid at the consummation of the Business Combination.