Stantec to acquire Cardno businessesCompanies & People Cardno consulting engineering ecosystem restoration environmental services Infrastructure Stantec
The deal is expected to close by the end of the year.
Edmonton-headquartered Stantec has entered share purchase agreements to acquire Cardno’s North American and Asia-Pacific (APAC) engineering and consulting groups for approximately $620 million.
Expected to close by the end of this year, the acquisition would increase the scale of Stantec’s environmental services and infrastructure business, adding 1,500 team members in North America and 1,250 in APAC, primarily in Australia and New Zealand. The deal excludes Cardno’s Latin American operations and international development businesses.
The deal aims to bolster Stantec’s exposure to global ecosystem restoration spending—which the United Nations (UN) forecasts at US$9 trillion by 2030—as well as other stimulus spending on infrastructure. As a result, the two firms’ combined environmental services and infrastructure businesses are expected to represent 20% and 30% of Stantec’s pro forma net revenues, respectively.
“We have worked closely with Cardno for many years,” says Stantec president and CEO Gord Johnston. “The timing couldn’t be better to welcome their team and grow together. Their key strengths in ecosystem restoration, health sciences, infrastructure, water and government services are completely complementary to Stantec’s offerings. Together, we will set the standard for sustainable design and climate change mitigation.”
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