Stantec to acquire Morrison Hershfield
January 9, 2024
The transaction, which is being completed by way of a court-approved plan of arrangement, is subject to Morrison Hershfield shareholder, court and regulatory approvals. The acquisition is expected to close in the first quarter (Q1) of 2024. Terms have not been disclosed.
Stantec, headquartered in Edmonton, will increase its Canadian workforce by approximately 10% with the addition of the 1,150-person, employee-owned Morrison Hershfield, which is headquartered in Markham, Ont., and has offices in 22 cities across Canada and the U.S., plus one in India. In planning the acquisition, Stantec identified Morrison Hershfield as one of only a few large Canadian consulting engineering firms whose strengths, business lines and clients are additive to its own in key growth markets, including the Greater Toronto Area (GTA).
“We are thrilled to bring a firm of Morrison Hershfield’s stature into the fold,” says Stantec president and CEO Gord Johnston. “Our firms have shared a mutual admiration over many years and have a similar history from our roots in the Canadian market. Our values and culture are well-aligned.”
Stantec reports the addition of Morrison Hershfield’s ‘horizontal infrastructure’ business will double its transportation-sector presence in Ontario with bridge, highway, construction administration, program management and inspection services. In Western Canada, too, Stantec’s market presence will be further solidified with the addition of diversified transportation services, positioning the combined practice for upcoming significant infrastructure project opportunities.
Additionally, Morrison Hershfield will add:
- capacity in data centre engineering, which will complement Stantec’s recent acquisition of Environmental Systems Design (ESD).
- telecommunications and technology consulting capabilities for smart buildings and 5G implementation.
- leading expertise in building science, building envelope design, commissioning and whole-building energy modelling, strengthening Stantec’s decarbonization work for high-performance buildings.
- environmental services to bolster support for infrastructure projects in such key markets as Toronto, Vancouver and Whitehorse.
“Joining the Stantec family marks a historic moment for our 78-year-old company,” says Morrison Hershfield president and CEO Anthony Karakatsanis. “With access to their depth of experts, resources and technology, we will be able to provide our employees with exciting and meaningful work, growth and professional development for the long term. This acquisition provides us with access to many high-profile projects and markets in the communities where our employees live and work.”