Construction firm Stantec to sell software unit Innovyze for US$270M
The Edmonton-based company acquired the modeling software business last year as part of its $1 billion purchase of MWH
EDMONTON—Stantec Inc. is offloading a water infrastructure modeling and simulation software business it acquired last year as part of its purchase of U.S.-based engineering company MWH Global Inc.
The Canadian design and construction company said March 21 it would sell its Innovyze subsidiary to U.S. investment firm EQT for US$270 million.
“Innovyze is an impressive, growing business and we see this as an opportunity to continue working with them in servicing our clients while allowing both our companies to prosper with the best available resources,” Bob Gomes, Stantec’s president and CEO, said in a statement.
Meanwhile, the Edmonton-based firm said it is continuing to integrate other segments of MWH’s business with its own operations. Prior to the US$793 million (approximately C$1 billion) acquisition, MWH employed about 6,800 workers across operations in the U.K., Australia, New Zealand, South and Central America, Europe and the Middle East.
Stantec expects to close on the Innovyze deal in the second quarter of this year.