Toronto, Ontario 鈥 December 20, 2007: Aecon Group Inc. (鈥淎econ鈥) (TSX:ARE) today announced that it has completed the previously disclosed purchase of the assets of Leo Alarie and Sons Limited (鈥淟AS鈥), one of the largest construction companies in northern Ontario.
A private company, owned primarily by the Alarie Family, LAS is an integrated construction and materials company active throughout northern Ontario in heavy construction (highways, hydro-electric projects, sewer and water, pipelines, etc.), engineered construction (design/build projects such as bridges and mine site infrastructure requiring substantial engineering), pre-engineered buildings, contract open pit mining and aggregate supply.
Under the deal, Aecon will acquire the assets of LAS, including its substantial equipment fleet, land, pits and quarries (with associated inventories), as well as selected construction and mining contracts. As part of the deal, Aecon will assume approximately $5 million of LAS鈥檚 existing debt (largely related to the financing of its equipment fleet) in addition to a cash payment, subject to certain post closing adjustments, of approximately $14.2 million.
鈥淲e have a long and successful history with LAS, and know them to be one of the top companies in the industry鈥, said , CEO of Aecon鈥檚 Infrastructure Group. 鈥淲e are very proud to have the LAS team as part of the Aecon family鈥.
鈥淭his acquisition is a natural evolution in the succession of our company鈥, said Denis Alarie, President of Leo Alarie and Sons Limited. 鈥淚t creates additional opportunities for our employees and for our company and will add important operational synergies.
Aecon Group Inc. is 's largest publicly traded construction and infrastructure development company. Aecon and its subsidiaries provide services to private and public sector clients throughout and internationally. The Company's shares are listed for trading on the Toronto Stock Exchange under the symbol ARE.