Testing Specialties, Inc. (TSI) of San Antonio Joins the Palmetto Family
May 28, 2025 – San Antonio, TX and Greenville, SC – Palmetto Air & Water Balance, LLC (“Palmetto” or the “Company”), a people-first, high-growth independent Testing, Adjusting, Balancing (TAB) and Critical Environment certification business, is pleased to announce the acquisition of Testing Specialties, Inc. (“TSI”), a leading provider of TAB and Critical Environment services in the greater San Antonio market.
TSI has served commercial, healthcare, and industrial clients throughout South Texas for over 35 years, earning a reputation for technical excellence and responsive customer service. Under the terms of the transaction, TSI will be merged into Palmetto’s Texas operations, further strengthening Palmetto’s presence in strategic Texas markets.
“Testing Specialties has built an extraordinary legacy of service and technical expertise in San Antonio,” said Rob Gannett, CEO of Palmetto Air & Water Balance. “We’re delighted that Wes Harvey, Steve Morell, and Elliott Harvey—leaders who have been instrumental in TSI’s success—will continue in key roles as we integrate TSI into the Palmetto family. Our combined teams will be able to deliver an even higher level of value and responsiveness to customers across Texas.”
Wes Harvey, co-founder and long-time partner of TSI, will remain active with the business through his planned retirement later in 2025.
Steve Morell will continue on as General Manager of Palmetto’s San Antonio operation, leading day-to-day service delivery and customer engagement.
Elliott Harvey will serve as Operations Manager, overseeing project execution, technical staff development, and quality assurance.
Mr. Gannett added, “With Wes guiding a smooth transition through his retirement, and Steve and Elliott anchoring leadership in San Antonio, we’re well positioned to accelerate our growth while maintaining the exceptional standards TSI customers expect.”
Palmetto’s acquisition of Testing Specialties represents the Company’s fourth add-on acquisition as an SRM Equity Partners portfolio company, following transactions with N.D. White Engineering Services, Air Balancing Company, and Delta-T Ltd. in 2023 and 2024. Palmetto remains actively engaged in pursuing additional partnerships to support its exceptional growth trajectory.
The transaction was led by John Cote and Beau Brace of SRM Equity Partners. Palmetto was represented by Nelson Mullins Riley & Scarborough, and Deerpath Capital Management provided financing for the transaction. Terms of the transaction were not disclosed.
About Palmetto Air & Water Balance:
Founded in 1989 and headquartered in Greenville, South Carolina, Palmetto Air & Water Balance operates 22 offices across North Carolina, South Carolina, Virginia, Tennessee, Texas, and Arizona with over 220 teammates. Palmetto is a leader in the Testing, Adjusting, and Balancing and Critical Environment certification industries, validating the performance of HVAC and airflow and air filtration systems for Healthcare, Life Sciences, Education, Institutional, Commercial and Industrial facilities.