TORONTO—Construction and infrastructure engineering firm Aecon Group Inc. has sold its wholly-owned subsidiary Innovative Steam Technologies (IST) for $35 million to Fulcrum Capital Partners.
The deal includes additional proceeds over the next two years, contingent on IST achieving certain performance conditions.
IST designs, engineers, manufactures and installs Once Through Steam Generators (OTSGs) for both the power generation and enhanced oil recovery industries.
“As an international manufacturing business, IST is outside of Aecon’s core business of construction and infrastructure development. The proceeds from the sale of IST further strengthen Aecon’s balance sheet and will support Aecon’s focused strategy as a provider of turnkey services for our clients,” says Teri McKibbon, President and Chief Executive Officer, Aecon Group Inc. “We thank IST’s team for all of their hard work and wish them continued success.”