Brookfield Global Integrated Solutions has agreed to acquire the Canadian real estate facilities management business of SNC-Lavalin (TSX: SNC). No financial terms were disclosed for the deal, which is expected to wrap up by the end of 2016. The SNC-Lavalin unit manages multi-million square feet and employs more than 1,000 team members. Its proposed acquisition is the second this month for Brookfield GIS, coming on the heels of the company’s announcement to buy McKinstry FMS. Markham, Ontario-based Brookfield GIS is backed by the fourth private equity fund of Brookfield Asset Management, which recently closed at US$4 billion.
Brookfield Global Integrated Solutions Acquires SNC-Lavalin’s Canadian Real Estate Facilities Management Business
TORONTO, ONTARIO–(Marketwired – June 30, 2016) – Brookfield Global Integrated Solutions (Brookfield GIS), a leading global real estate facility management provider announced today that it is acquiring SNC-Lavalin Group Inc.’s (SNC-Lavalin) Canadian real estate facilities management (FM) business that manages multi million square feet and employs over 1,000 team members.
“For over 20 years, Brookfield GIS has been providing facilities management & facilities services to leading organizations in the telecom, financial and government sectors. The benefit of this acquisition means clients will have access to additional scale, knowledge and expertise with an organization that understands their businesses, ensuring an efficient, seamless transition,” said Gord Hicks, President and CEO, Americas, Brookfield GIS.
SNC-Lavalin is divesting its FM business to focus on its core businesses. SNC-Lavalin’s Canadian FM business is comprised of facility management, facility services, building operations and management, project management, realty management and advisory services.
“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 acquisition will allow both companies to move forward with a focus on their respective core businesses while continuing to drive value for clients,” said Hicks.
With this Canadian acquisition, Brookfield GIS continues to execute on its strategy to become a global leader in the real estate facilities management services industry.
The agreement is subject to customary regulatory and other approvals, and is expected to close by the end of this year.
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).
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
Brookfield Global Integrated Solutions
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Photo courtesy of Brookfield Global Integrated Solutions