Morrison Hershfield has signed an agreement to become part of Stantec, a global leader in sustainable design and engineering, headquartered in Edmonton, Alberta. The acquisition is subject to Morrison Hershfield shareholder approval, court and regulatory approvals and is expected to close in Q1 2024. The terms of the transaction are not disclosed.
Historic Milestone
This acquisition expands Morrison Hershfield’s diverse service and capabilities offerings to longstanding and valued clients. A new seamless team approach, expanded talent, new locations, and deeper expertise will better serve a broader range of client needs. Morrison Hershfield remains committed to providing its world-class client service, and this new partnership will only strengthen its ability to do so.
“Joining the Stantec family marks a historic moment for our 78-year-old company. Stantec is a highly respected and successful firm that shares our corporate values and mission, with a unique culture that complements our own,
”said Anthony Karakatsanis, president and chief executive officer, Morrison Hershfield. “With access to Stantec’s depth of renowned experts, resources, and cutting-edge technology, we will be able to provide our employees with exciting and meaningful work, growth and professional development, for the long term. This acquisition provides us with access to many high-profile North American and global projects and markets, in the communities where our employees live and service.”
By joining a highly respected, global firm like Stantec, this transaction proactively positions Morrison Hershfield’s employees for long-term success.
“We are thrilled to bring a firm of Morrison Hershfield’s stature into the Stantec fold,” said Gord Johnston, president and chief executive officer, Stantec. “Our firms have shared a mutual admiration over many years. Stantec and Morrison Hershfield have a similar history from our roots in the Canadian market, growing and diversifying services both by geography and service line. And, importantly, our values and culture are very well aligned.”
Accelerating growth through complementary services and markets
The acquisition of Morrison Hershfield expands Stantec’s presence in most major Canadian markets, and further augments its US presence in buildings engineering. Morrison Hershfield is one of the largest Canadian-based engineering firms with core strengths, business lines, and clients that are additive to Stantec’s presence in multiple key growth markets, including the Greater Toronto Area. Morrison Hershfield has offices in 22 cities in Canada and the United States, and one office in India.
The addition of Morrison Hershfield’s Horizontal Infrastructure business will double Stantec’s transportation presence in Ontario, bolstering the firm’s bridge, highway, construction administration, program management, and inspection services in a key growth market. Morrison Hershfield’s capabilities, geographic strengths, and client mix are complementary to Stantec’s, and combined will result in a formidable player in transportation throughout Canada’s largest province. In Western Canada, Stantec’s strong market presence will be further solidified with the addition of Morrison Hershfield’s diversified transportation and bridge engineering services, well positioning the combined practice for upcoming significant infrastructure project opportunities. The firms share an understanding of market dynamics and client needs, which will help foster early and immediate collaboration on projects.
Morrison Hershfield is an industry leader in building and facilities engineering design. The firm’s capabilities align with and augment Stantec’s Buildings business in several of its key growth markets, including advanced manufacturing, transit facilities, and industrial building design. Additionally, Morrison Hershfield adds capacity in the high-growth mission critical and data center market space and the combination will reinforce Stantec's position as a top provider of data center engineering services. Morrison Hershfield’s longstanding telecom and technology consulting business will add new capabilities directly tied to smart buildings and 5G implementation.
Stantec’s decarbonization and high-performance building design work will be strengthened by Morrison Hershfield’s industry-leading position in building envelope and building science design and advisory services, as well as code life safety consulting, commissioning, sustainability and whole building energy modeling consulting, among others.
Morrison Hershfield’s Environmental Services business will bolster Stantec’s capacity to support infrastructure projects in key Canadian markets, including Toronto, Vancouver and in Canada’s North by combining teams in Whitehorse, Yukon. The firm will also support Stantec’s work in the energy transition by adding additional capacity in environmental impact assessment, ecological services, and geosciences.
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Morrison Hershfield’s client base will benefit from Stantec’s expertise in nature-based solutions, carbon sequestration and natural capital. Morrison Hershfield also has a team dedicated to climate change risk, climate resilience assessment and adaptation services, which will augment Stantec’s own expertise in this critical area.
Morrison Hershfield wishes to thank AEC Advisors for their financial and advisory services in connection with this transaction process. Morrison Hershfield also thanks Bennett Jones LLP for their legal support, and Grant Thornton LLP who has continued to provide assurance, tax and advisory services since 1999, and the Environmental Financial Consulting Group (EFCG) who has provided advisory services and annual valuations to Morrison Hershfield since 2010.
More Information
For additional details, please visit Stantec’s Website.
About Morrison Hershfield:
Morrison Hershfield is a market leading, employee-owned professional engineering and management firm, and founded in 1946. Its projects portfolio includes large scale, multidisciplinary and complex infrastructure projects for both public and private sector clients, and delivers innovative, cost-effective and sustainable solutions for both horizontal/linear and vertical infrastructure.
About Stantec
Communities are fundamental. Whether around the corner or across the globe, they provide a foundation, a sense of place and of belonging. That's why at Stantec, we always design with community in mind. We're designers, engineers, scientists, and project managers, innovating together at the intersection of community, creativity, and client relationships. Balancing these priorities results in projects that advance the quality of life in communities across the globe.
Contact
Loui Pappas, P.Eng.
Vice President, Corporate Marketing and Communications
Morrison Hershfield
1-416-499-3110
lpappas@morrisonhershfield.com
