Granite has completed its acquisition of global water management, infrastructure services and drilling company Layne Christensen Company for an approximate final consideration of US$536 million, including assumption of net debt.
The stock merger transaction was announced in February 2018 and enhances Granite’s position in the transportation and water infrastructure markets, bringing Layne’s skills as a water management, construction and drilling company with top positions in well drilling and cured-in-place pipe rehabilitation.
Granite Senior Vice President, General Counsel, Corporate Compliance Officer and Secretary Richard Watts has been named Senior Vice President and Group Manager of the newly formed Water and Mineral Services operation group.
Mr Watts will lead the more than 2,000 Layne employees joining the new Granite team and said there are “exciting growth opportunities that will be driven by our teams’ exceptional expertise in the water, wastewater, and mining markets”.
Layne financial results will be included in the financial results of Granite’s Construction Segment and Construction Materials Segment from the transaction closing date through to 30 June 2018 and former Layne Director Alan Krusi will join Granite’s Board of Directors.
Following this, in the third quarter in 2018, Granite will combine the underground component of Granite subsidiary Kenny Construction, recently acquired LiquiForce and the Layne businesses to comprise its Water and Mineral Services operating group.
Granite President and CEO James Roberts said the transaction with Layne represented the next step in Granite’s strategy for rising to the top of the water and transportation infrastructure markets.
“The addition of Layne, together with our recent acquisition of LiquiForce, positions Granite to accelerate growth in the water infrastructure and pipe rehabilitation market,” said Mr Roberts.
“As we have advanced our integration planning efforts over the past months, our teams’ combined effort has been focused on leveraging the highly complementary operations and strong cultural foundations of both organisations.
“We appreciate the immense effort, dedication, and teamwork displayed by Granite and Layne employees throughout this process.”
For more information visit the Granite website.
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