Stantec Inc (NYSE:STN) has agreed to buy Environmental Systems Design, Inc. (ESD), a 270-person engineering firm based in Chicago. Deal terms not disclosed.
The transaction significantly deepens Stantec’s mission-critical facilities and data center design expertise. ESD will strengthen Stantec’s mechanical, electrical, plumbing, and structural engineering practice in the U.S. by 40%.
“Merging talent with ESD positions Stantec as one of the top integrated design firms in the US market. Our expanded services in data center, smart building design, and high-performance buildings will offer our clients the flexible and stable facilities that meet their operational needs into the future,” commented Leonard Castro, executive vice president, and business operating unit leader for Buildings at Stantec.
Stantec held cash and cash equivalents of C$131.9 million as of March 31, 2023.
The acquisition will bump up Stantec’s presence in Chicago to about 600 employees and more than 2,050 in the broader U.S. North Central region, which spans 12 states.
The transaction is expected to complete by June 30, 2023.
Price Action: STN shares closed higher by 0.065% at $61.94 on Wednesday.
