MONTREAL, Dec. 30, 2016 /CNW Telbec/ - SNC-Lavalin (TSX: SNC) announces today that it has signed and closed an agreement to sell its ongoing activities in France and in Monaco to Ciclad and Impact Holding for a nominal amount, including its investment in Société d'Exploitation de l'Aéroport de Mayotte. These activities in France and in Monaco include approximately 1,100 employees.
The agreement does not include SNC-Lavalin's TC Dome S.A.S. capital investment, which will be governed by a different sale agreement with a separate set of closing conditions, and is expected to close at a later date.
"The sale is consistent with our focus on operational excellence and our efforts to align our activities with our global core business strategy. Despite restructuring and improvement efforts over the past few years, our overall business in France has not generated the expected profitability," said Ian L. Edwards, President, Infrastructure, SNC-Lavalin. "This was the best economic option for our business and stakeholders going forward, and provides for continuity of operations for clients and employees in France and Monaco, who will transition to new owners."
SNC-Lavalin's activities in France cover several markets, including complex buildings, industry and agribusiness, transportation and cities, as well as the operations and maintenance of 19 regional airports. The sale should positively impact the overall EBIT margin of the company's Infrastructure sector.
Both Ciclad and Impact Holding are well placed to position the business in France for the future. They are both active in investments in France, including in engineering, and have previously partnered successfully to grow the companies they have invested in.
Founded in 1911, SNC-Lavalin is one of the leading engineering and construction groups in the world and a major player in the ownership of infrastructure. From offices in over 50 countries, SNC-Lavalin's employees are proud to build what matters. Our teams provide engineering, procurement, construction, completions and commissioning services together with a range of sustaining capital services to clients in four industry sectors: oil and gas, mining and metallurgy, infrastructure and power. SNC-Lavalin can also combine these services with its financing and operations and maintenance capabilities to provide complete end-to-end project solutions. www.snclavalin.com
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