SNC-Lavalin reaches an agreement to sell its Real Estate Facilities Management business in Canada for $45 million to Brookfield Global Integrated Solutions Français
Jun 30, 2016, 08:00 ET
MONTREAL, June 30, 2016 /CNW Telbec/ - SNC-Lavalin (TSX: SNC) is pleased to announce that it has reached an agreement to sell its non-core Real Estate Facilities Management business in Canada to Brookfield Global Integrated Solutions ("Brookfield GIS") for $45 million, which includes facilities management, property management, realty management and related project management. The community mailboxes and P3s are not included in the agreement. SNC-Lavalin's Real Estate Facilities Management business in Canada has approximately 1,100 employees.
This sale is a result of a review carried out under SNC-Lavalin's Operational Excellence approach, which identified these activities as non-core to the business strategy.
"We are aligning our Operations & Maintenance business in Canada with SNC-Lavalin's core sectors, by focusing on providing operations and maintenance services in transportation, social infrastructure, P3s, industrial, power, defence and logistics, and oil and gas," said Ian L. Edwards, President, Infrastructure, SNC-Lavalin. "We are pleased to sell our Real Estate Facilities Management business in Canada to another solid Canadian company. Brookfield is the ideal owner to provide the investment, client care and long term planning to grow it."
"This acquistion will allow Brookfield GIS to continue to execute on its growth strategy as a leading real estate facilities management services provider across the globe. We are excited about the opportunity to leverage the scale, knowledge and expertise of the combined operations to enhance the business performance of our existing and newly acquired clients" said Gord Hicks, President and CEO, Americas, Brookfield Global Integrated Solutions.
Brookfield GIS has a strong record of investment in this particular area. The transfer of employment to Brookfield GIS will occur during a transition period that is expected to be completed at the closing of this agreement, in order to align with operational and client needs.
The agreement is subject to customary regulatory and other approvals, and is expected to close by the end of this year.
About SNC-Lavalin
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
About Brookfield Global Integrated Solutions
Brookfield Global Integrated Solutions (Brookfield GIS) is a leading provider of real estate management services, including facilities management, facilities services, project delivery services, energy and sustainability solutions, building performance management, workplace advisory and management, and real estate services. With a combined team of over 4,400 personnel worldwide, Brookfield GIS inspires better business performance across its clients' real estate portfolios by developing and implementing real estate and facilities management strategies. Globally, Brookfield GIS manages approximately 300 million square feet of client portfolios across 23,000 locations across North America, Europe, Australia, New Zealand and Asia.
Further information is available at www.brookfieldgis.com.
Brookfield GIS is a subsidiary of Brookfield Business Partners, a business services and industrial company focused on owning and operating high-quality businesses that benefit from barriers to entry and/or low cost production. Brookfield Business Partners is listed on the New York and Toronto stock exchanges (NYSE: BBU;TSX: BBU.UN).
SOURCE SNC-Lavalin
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