Morneau Shepell buys competitor’s Quebec division for $32M
The acquisition includes more than 150 employees in Montréal and Québec City, more than 12,000 client companies
TORONTO—Human resources services provider Morneau Shepell Inc. has acquired Groupe AST, the largest workers’ compensation provider in Québec, in a $32-million deal.
Groupe AST is a division of ADP Canada Co., another human resources services firm based in Toronto.
“With this acquisition, we further expand our market leadership position as the largest Canadian provider of both workers’ compensation services and broader, integrated absence management solutions,” said Zahid Salman, executive vice-president of Morneau Shepell responsible for the Ontario and Western Canada Regions, as well as the Organizational Health Solutions line of business. “It is also in line with our stated strategy to grow our business profitably through acquisitions that complement our existing service offerings or expand our market presence.”
The acquisition includes more than 150 employees in Montréal and Québec City, more than 12,000 client companies, 18 prevention mutual groups, and annual revenue of more than $20 million, according to Julien Ponce, executive vice-president for Morneau Shepell responsible for the Québec and Atlantic Canada Regions.
Morneau Shepell’s Organizational Health Solutions consists of attendance and disability management, occupational health services, and workers’ compensation services.
Groupe AST provides a variety of workers’ compensation services including risk assessment, safety training, claims management, independent medical advice, and safety communications, and also manages prevention mutual groups.