Aecon completes roadbuilding sale
By Adam FreillConstruction Infrastructure Roads
Construction and infrastructure development company sells roadbuilding business in Ontario to Green Infrastructure Partners.
Aecon Group Inc. recently announced the closing of a previously disclosed definitive purchase agreement with Green Infrastructure Partners (GIP) Inc. for its roadbuilding business in Ontario. The deal will see the Aecon Transportation East (ATE) roadbuilding, aggregates and materials businesses in Ontario transfer hands for $235 million in cash.
“We are excited to add ATE’s vertically integrated roadbuilding solutions’ business in Ontario to GIP’s existing platform, further solidifying the breadth of our services to support public infrastructure from our operations in Ontario, British Columbia, Manitoba, Saskatchewan and Quebec,” said Patrick Dovigi, GIP’s executive chair when the agreement was initially announced. “We saw a tremendous opportunity to enhance the scale and service offerings around our vertically integrated Coco Paving platform, with the self-perform capabilities initially added from GFL’s infrastructure division and to accelerate our growth through acquisition, further consolidating GIP’s position as one of Canada’s premier suppliers of critical infrastructure maintenance services. This acquisition is one of those great opportunities.”
The acquisition significantly increases GIP’s suite of vertically integrated roadbuilding services and materials supply capabilities.
“The combination of ATE and GIP’s roadbuilding expertise will position GIP with the skills, equipment and services to perform virtually any size of provincial, municipal or private infrastructure project,” stated Dovigi.
Green Infrastructure Partners was formed on its acquisition of GFL Infrastructure Group and Coco Paving and their respective affiliates. GIP is a provider of civil infrastructure services with 33 asphalt plants, eight concrete plants, access to over 250 aggregate sites, an asphalt cement terminal in Eastern Ontario and more than 3,000 employees across its operations.