Stantec (NYSE: STN) has agreed to acquire Cardno’s engineering and consulting businesses in North America and the Asia-Pacific region for approximately $500 million to expand its environmental services practice and broaden its presence in federal and local government programs, urban development, infrastructure services and other growth areas.
Canada-based Stantec said Thursday it expects the transaction to close by the end of 2021, subject to approvals of Cardno shareholders and regulatory agencies.
“Cardno’s key strengths in ecosystem restoration, health sciences, infrastructure, water, and government services are completely complementary to Stantec’s offerings in these growing sectors of the United States and Australia,” said Gord Johnston, president and CEO of Stantec.
“Together, we will continue to set the standard for sustainable design and climate change mitigation,” added Johnston.
Stantec expects to add approximately 2,750 employees as a result of the acquisition and will use existing funds and credit facilities to fund the acquisition.
National Bank Financial and DLA Piper respectively serve as financial and legal advisers to Stantec in the transaction.
