Court approves CCCI acquisition of Aecon Group
The Ontario Superior Court of Justice (Commercial List) has approved the acquisition of Aecon Group by Hong-Kong-based construction firm, CCCC International Holding Limited (CCCI).
A final order approving the Plan of Arrangement was issued on Dec. 22, 2017, which would allow CCCI to acquire all issued and outstanding shares of Aecon.
The acquisition is expected to close in the first quarter of 2018, assuming closing conditions have been met. The transaction must also be approved under the Investment Canada Act.
Announced on Oct. 26, 2017, the acquisition has an enterprise value of $1.51 billion – $20.37 per share. Aecon Group announced in August 2017 that it was looking to sell.
The acquisition will allow Aecon to access new platforms and partnerships for growth in Canada, while CCCI will be able to advance its global growth strategy, according to Aecon. The company also expects CCCI’s size and financial strength will allow it to bid for larger and more complex projects in Canada.
Aecon will retain its name and current Canadian headquarters, and will continue to be led by its Canadian management team.
Aecon provides project management, financing and development services, as well as services to private and public sector clients in the infrastructure, energy and mining sectors.
SOURCE: AECON GROUP