Canadian contractor Aecon has completed the US$175m cash sale of its Ontario roadbuilding subsidiary to Canadian infrastructure company Green Infrastructure Partners (GIP).
Aecon Transportation East (ATE) employs almost 1,000 staff and is active in the roadbuilding, services and materials supply businesses.
ATE’s acquisition includes ownership of eight asphalt plants and eight aggregate quarries for internal and external use.
Once the acquisition has been completed, GIP says it will have the capability to perform any provincial, municipal or private infrastructure project.
Patrick Dovigi, GIP’s executive chair, said: “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.
“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.”
The sale is subject to regulatory approvals and is due to be completed in the first half of this year.
