STN - Stantec to acquire Morrison Hershfield a leading transportation buildings and environmental services firm | Benzinga
EDMONTON, Alberta and NEW YORK and MARKHAM, Ontario, Jan. 09, 2024 (GLOBE NEWSWIRE) -- TSX, NYSE: STN
Stantec, a global leader in sustainable design and engineering, has signed an agreement to acquire Morrison Hershfield, a 1,150-person engineering and management firm headquartered in Markham, Ontario. Founded in 1946 and employee-owned, Morrison Hershfield has a top-tier industry reputation in transportation, buildings, and environmental services. Morrison Hershfield has offices in 22 cities in Canada and the United States, and one office in India. With a particularly strong presence in Canada, Morrison Hershfield will increase Stantec's Canadian workforce by approximately 10%.
The acquisition, which is being completed by way of a court approved plan of arrangement, is subject to Morrison Hershfield shareholder approval, court approvals, and certain regulatory approvals and is expected to close in Q1 2024. The terms of the transaction are not disclosed.
Accelerating Growth Through Complementary Services and Markets
The acquisition of Morrison Hershfield expands Stantec's presence in most major Canadian markets, and further strengthens its US presence in buildings engineering. Morrison Hershfield is one of the few large Canadian-based engineering firms with core strengths, business lines, and clients that are additive to Stantec's presence in multiple key growth markets, including the Greater Toronto Area. Similarly, Stantec's global market presence and client relationships will accelerate Morrison Hershfield's business line growth opportunities as part of Stantec.
"We are thrilled to bring a firm of Morrison Hershfield's stature into the Stantec fold," said Gord Johnston, president and chief executive officer, Stantec. "Our firms have shared a mutual admiration over many years. Stantec and Morrison Hershfield have a similar history from our roots in the Canadian market, growing and diversifying services both by geography and service line. And, importantly, our values and culture are very well aligned."
The addition of Morrison Hershfield's Horizontal Infrastructure business will double Stantec's transportation presence in Ontario, bolstering the firm's bridge, highway, construction administration, program management, and inspection services in a key growth market. Morrison Hershfield's capabilities, geographic strengths, and client mix are complementary to Stantec's, and combined will result in a formidable player in transportation throughout Canada's largest province. In Western Canada, Stantec's strong market presence will be further solidified with the addition of Morrison Hershfield's diversified ...