Stantec signs agreement to sell Innovyze
Firm divests of smart water infrastructure modeling and simulation software company.
EDMONTON, ALBERTA and NEW YORK, NY, MARCH 24, 2017 --Global design firm Stantec has signed an agreement for the sale of its software business, Innovyze, for USD $270 million to the EQT Mid Market US fund, part of the international alternative investments firm EQT. Innovyze joined Stantec through the MWH acquisition which closed in 2016. Subject to customary conditions and regulatory approvals, it is anticipated that the sale will close in Q2 2017.
"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," says Bob Gomes, Stantec President and Chief Executive Officer.
Founded in May 1996, Innovyze is a leading global provider of wet infrastructure business analytics software solutions designed to meet the technological needs of water/wastewater utilities, government agencies, and engineering organizations worldwide. The company's clients include the majority of the largest UK, Australasian, East Asian and North American cities, foremost utilities on all six continents, and ENR top-rated design firms.
"We have been passionately building significant global market presence and vanguard water and wastewater modeling and simulation technology since I founded the company over twenty years ago, and we excelled in superior customer care," says Paul F. Boulos, Ph.D., BCEEM, Hon.D.WRE, Dist.D.NE, Dist.M.ASCE, NAE, Chairman, CEO and President of Innovyze. "Joining forces with EQT will help us further enhance our technology innovation and talent pool to even better serve our fast growing customer base. This is an ideal match of culture and technology, and a great win for the critical water and wastewater industry. I look forward to leading Innovyze to unprecedented levels of success for our customers, their communities and the environment."
The larger integration of the MWH business into Stantec's operations continues, with North American divisions expected to be complete in Q2 2017 and successive parts within the next 18 months.
Robert W. Baird served as exclusive financial advisor and Paul, Weiss, Rifkind, Wharton & Garrison LLP acted as legal advisor to Stantec on the transaction.
The Stantec community unites approximately 22,000 employees working in over 400 locations across 6 continents. Our work-engineering, architecture, interior design, landscape architecture, surveying, environmental sciences, construction services, project management, and project economics, from initial project concept and planning through to design, construction, commissioning, maintenance, decommissioning, and remediation-begins at the intersection of community, creativity, and client relationships. Visit stantec.com.