Completion is contingent on certain conditions precedent being satisfied. The acquisition price may increase by a further C$1.0 million subject to future performance. The deal is immediately earnings per share accretive for Coffey.
Coffey International Limited managing director Roger Olds said we had been talking with Shaheen and Peaker for over a year, having explored other possibilities in Canada for some time.
“Shaheen and Peaker are a quality geotechnical and environmental business, similar to what Coffey was like in its earlier years as a private company. We jointly plan to build Coffey in Canada into a strong national business as we have done in Australia, and are progressing in New Zealand and the United Kingdom.”
The Canadian market is similar to Australia with a strong resources base and continuing investment in major transportation infrastructure and tourism.
“With 175 people, head office in Toronto and 7 branch offices in the Ontario and Calgary regions, the business has good critical mass from which to grow. This strong presence will also provide us with the opportunity from which our mining business can set up permanently,” Roger said.
Coffey Mining already provides substantial services to junior miners listed on the Toronto Stock Exchange.
Matt Thomas, chief executive officer of Coffey Geotechnics, said this was a unique opportunity to enter the Canadian market with a company as reputable as Shaheen and Peaker.
“Shaheen and Peaker has a well-structured work force that includes a group of highly talented and experienced senior managers, complemented by a group of younger engineers and other professionals, who have the potential to successfully lead the company.
“The company’s specialist skills are a tremendous fit with Coffey Geotechnics. The staff are enthusiastic to grow the company and this creates an ideal environment for Coffey to confidently enter this new market and build on the initial partnership.”
Shaheen Ahmad, president of Shaheen and Peaker, said: “The Coffey group has grown enormously over the past eight years and has been successful implementing their acquisition strategy and helping its new businesses to thrive. Coffey Geotechnics has an excellent reputation as a specialist geotechnical firm world-wide. These two factors grant Shaheen and Peaker the opportunity to grow technically and internationally and we are excited by this opportunity. We will now have the size and credibility to compete with the biggest firms in Canada and this will provide us with bigger opportunities than we have been able to access in the past.”
Shaheen and Peaker’s client base includes consulting engineers, manufacturers, developers, along with private and government clients.
Coffey Geotechnics has more than 700 staff with offices in Australia, the United Kingdom, and New Zealand.
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About Coffey
Coffey International Limited is one of the top 300 companies on the Australian Stock Exchange. Operating for nearly 50 years, we have a range of specialist businesses working in the social and physical infrastructure markets. And, collectively, we aim to improve the lives of world communities.
Around the world, we are providing services at every stage of the infrastructure lifecycle – starting with planning and financing the project, through development and resolving the technical challenges to the management of resources, timelines and budgets. And the cycle continues as we use our specialist knowledge to ensure objectives continue to be met in the long term and infrastructure is appropriately maintained.
Our work involves a wide a range of built assets – like roads, buildings, gas pipelines, mines, and sporting facilities – just about everything that is required to meet the demands of a growing world population, rapid urbanisation and heightened environmental sustainability awareness.
Through our expertise, we are also enabling government and aid agencies to strengthen local communities, increasing quality of life and living standards. We develop mechanisms and manage projects across a range of social infrastructure, including economic development, education and training and health.
Coffey International Limited now has over 4000 people working on projects in more than 80 countries and has permanent offices throughout Oceania, the Americas, Africa, Asia and Europe. Our plans are to continue expanding our specialist businesses through acquisitions and organic growth.
Visit www.coffey.com for more information.
About Shaheen and Peaker
Shaheen & Peaker Limited is a geotechnical and environmental consulting engineering firm including construction control in the geotechnical, environmental, construction materials inspection and testing, building science, concrete, pavement and transportation sectors.
Shaheen & Peaker Limited has its head office in Toronto with 7 branch offices in the Ontario and Calgary regions. The client base includes consulting engineers, manufacturers, developers, institutions, private and government clients across Canada, and internationally. The company has 175 staff.
Visit www.shaheenpeaker.ca for more information.
Note to editors:
Roger Olds and Matt Thomas are available for interview. To arrange please contact:
Diana Krause, Communications Manager, Coffey International Limited, on (+61) (3) 9473 1405, (+61) 420 959 942, diana_krause@coffey.com
Or Catherine Vallence at Mendleson Communication on (+61) (3) 9827 0422, (+ 61) 400 212 245, catherine@mendleson.com.au
