Investment management firm Oaktree Capital Management’s purchase of MWH Constructors is inclusive of the UK and US divisions as well as Slayden Constructors.
MWH Constructors joined Stantec through the MWH acquisition in 2016 (link opens in new tab). The sale concludes a strategic review of construction services that Stantec announced in April this year.
MWH Constructors provides a range of preconstruction, construction, construction management and start-up and commissioning services, primarily for the water and wastewater markets in the United States and the United Kingdom.
“MWH Constructors has growth opportunities in the United Kingdom and the United States, and we believe this divestiture will better allow them to invest in and pursue growth while continuing to serve their clients,” said Gord Johnston, Stantec president and chief executive officer.
Blair Lavoie, president of MWH Constructors and chief of global operations, added: “We are excited to join Oaktree’s construction portfolio focused on project delivery. This is a positive step in the evolution of our company, and we look forward to having a partner like Oaktree with strong financial resources and a desire to invest in our future as we continue to be the leading global project delivery company in the water sector. In the US, we will stay with our great brands of Slayden and MWH Constructors, and in the UK, we will return to MWH Treatment.”
With the pending sale of MWH Constructors and the 2017 divestiture of Innovyze, Stantec will focus on its core consulting services business globally. Stantec has announced eight strategic acquisitions so far in 2018.
Subject to customary conditions, the sale is anticipated to close in the fourth quarter of 2018.