Latest news with #Aecon
Globe and Mail
5 days ago
- Business
- Globe and Mail
Bodell Construction joins Aecon
TORONTO, Aug. 07, 2025 (GLOBE NEWSWIRE) -- Aecon Group Inc. (TSX: ARE) ('Aecon' or the 'Company') announced today that it has acquired Bodell Construction Company ('Bodell'), an industrial construction company headquartered in Salt Lake City, Utah (the 'Transaction'). Bodell's management is committed to supporting Aecon's growth in the United States and will lead the business in partnership with Aecon's Industrial management team. Founded in 1972, Bodell is a privately-owned, non-union industrial construction company with approximately 150 employees. Bodell specializes in oil and gas, mining, water and wastewater, and power generation projects across the Western and Southern U.S. 'This transaction strengthens our core industrial capabilities, increases recurring revenue, and positions Aecon for expansion in key U.S. sectors and target markets,' said Jean-Louis Servranckx, Chief Executive Officer, Aecon. 'Bodell further diversifies our self-perform offering across multidisciplinary sectors and enhances our relationships with major U.S. clients for upcoming projects.' 'We are pleased to welcome Bodell's experienced leadership team and employees to Aecon,' said John Singleton, Senior Vice President, Industrial, Aecon. 'We look forward to harnessing opportunities to scale Bodell's operations for growth across the Mountain States Region while expanding across new geographic markets.' 'We are excited to accelerate our growth by leveraging new opportunities and offering expanded services to our clients as part of the world-class Aecon team,' said Sean Davis, President and Chief Executive Officer, Bodell. 'Bringing our diverse capabilities and strong client base developed over 50 years, joining Aecon positions us to advance our role in delivering industrial construction projects while extending our footprint.' About Aecon Aecon is a North American construction and infrastructure development company with global experience. Aecon delivers integrated solutions to private and public-sector clients through its Construction segment in the Civil, Urban Transportation, Nuclear, Utility, and Industrial sectors, and provides project development, financing, investment, management, and operations and maintenance services through its Concessions segment. Join our online community on X, LinkedIn, Facebook, and Instagram @AeconGroupInc. About Bodell Construction Bodell specializes in executing oil and gas, mining, water and wastewater, power generation, and commercial and institutional industrial construction projects in the United States. Headquartered in Salt Lake City, Utah, Bodell's dedicated team delivers integrated services to meet the unique needs of private and public-sector clients, fostering a commitment to safety, quality, innovation and value-creation. Statement on Forward-Looking Information The information in this press release includes certain forward-looking statements which may constitute forward-looking information under applicable securities laws. These forward-looking statements are based on currently available competitive, financial and economic data and operating plans but are subject to risks and uncertainties. Forward-looking statements may include, without limitation, statements regarding the operations, business, financial condition, performance, prospects, ongoing objectives, strategies and outlook for Aecon, including statements regarding: the anticipated growth and acceleration of Aecon's industrial business, the anticipated acceleration of Bodell's operations, and Aecon's expansion in the U.S. markets. Forward-looking statements may in some cases be identified by words such as "may," "will," "expects," "target," "anticipates," "projects," "should" or the negative of these terms, or similar expressions. In addition to events beyond Aecon's control, there are factors which could cause actual or future results, performance or achievements to differ materially from those expressed or inferred herein including, but not limited to: the risk of not being able to meet contractual schedules and other performance requirements, the risk the industrial market does not continue to grow as expected, the risk of not being able to capitalize on opportunities linked to the industrial sector, the risk of not being able to meet its labour needs, the risk of costs or difficulties related to the integration of Aecon and Bodell being greater than expected, the risk of the anticipated benefits and synergies from the acquisition not being fully realized or taking longer than expected to realize, the risk of not being able to grow and accelerate Bodell's operations as expected, the risk of being unable to retain key personnel, including Bodell management, and the risk of being unable to maintain relationships with customers, suppliers or other business partners of Bodell. These forward-looking statements are based on a variety of factors and assumptions including, but not limited to that: none of the risks identified above materialize, there are no unforeseen changes to economic and market conditions and no significant events occur outside the ordinary course of business. These assumptions are based on information currently available to Aecon, including information obtained from third-party sources. While Aecon believes that such third-party sources are reliable sources of information, Aecon has not independently verified the information. Aecon has not ascertained the validity or accuracy of the underlying economic assumptions contained in such information from third-party sources and hereby disclaims any responsibility or liability whatsoever in respect of any information obtained from third-party sources. Risk factors are discussed in greater detail in Section 13 - "Risk Factors" in Aecon's 2024 Management's Discussion and Analysis for the fiscal year ended December 31, 2024 and Aecon's Management's Discussion and Analysis for the fiscal quarter ended June 30, 2025, each filed on SEDAR+ ( Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Aecon undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. For further information:
Global News
6 days ago
- Business
- Global News
How Toronto considered a privately-operated tunnel to alleviate congestion
Long before Premier Doug Ford championed the idea of a tunnel under Highway 401, the City of Toronto briefly considered a near-identical proposal from a Canadian engineering firm — one that would have seen twin tunnels under the Gardiner Expressway to relieve congestion. The proposal, obtained by Global News through freedom of information laws, outlined plans for one tunnel between Jameson Avenue and Cherry Street and a second tunnel connecting Front Street and Spadina Avenue to Exhibition Place. The pitch, which was first made by John Beck, then-CEO of construction firm Aecon, in 2015, was formalized two years later and presented to then-mayor John Tory and senior staff. While the idea was later dropped, Tory's office appeared to be seriously weighing the project and pushed a Toronto-area Liberal MP to consider the proposal as part of the newly created Canada Infrastructure Bank. Story continues below advertisement 'Potential marquee, first-out-of-the-gate project for the Infrastructure Bank,' Tory's chief of staff Chris Eby wrote to the federal MP in 2017, under the subject line 'Gardiner tunnel.' Sources, however, insist the idea was considered moot when the city decided to rehabilitate the Gardiner instead. In an earlier statement to Global News, Aecon said the company has a long history of 'sharing emerging technologies and innovative new approaches with decision makers.' 'Aecon is proud to have built game-changing energy and transportation projects for Ontarians,' the company said in a statement. 'Building tunnels in support of transit and roadways to help relieve congestion is one solution that makes sense.' A tolled tunnel As part of its presentation to the city — titled 'GTConnect initiative' — Aecon proposed a wide-ranging solution for the Gardiner Expressway, Don Valley Parkway and Lakeshore Boulevard. Story continues below advertisement The idea would have included two main tunnels, a two-lane expansion to the DVP, and a potential transit corridor on a 'modified Lakeshore boulevard' — all of which would be financed, operated and maintained by the developer for a 50-year term. Get breaking National news For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen. Sign up for breaking National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy The benefit to the city, Aecon argued, would come in the form of 2,000 construction jobs, new land development opportunities and 'enhanced value of city and provincial lands.' View image in full screen A presentation about the proposed tunnel obtained using freedom of information laws. Global News While commuters would save '10-20 minutes during peak hours,' drivers would have to pay for the privilege. The company's proposal said the dual-tunnel route, along with the expanded lanes of the DVP, would be tolled for a 50-year period. The slide deck also includes key timelines for the proposed project: 18 to 24 months to conduct an environmental assessment; 36 months to build the Front Street tunnel and widen the DVP and 72 months to build the Gardiner Expressway tunnel. Story continues below advertisement Emails, obtained by Global News, show Tory's office was personally in touch with then-Aecon CEO John Beck and arranged a meeting with company representatives for Oct. 20, 2017. Six days after the meeting took place, Tory's chief of staff punted the idea to the federal government, asking for it to be considered for Infrastructure Bank funding. A provincial pitch To cover its bases, Aecon also went to the provincial government, which has significantly more financial firepower and oversees the rest of Ontario's highways, to pitch the same idea. Sources said Beck, who was appointed to the Order of Ontario in 2024, presented the same idea to the Ministry of Transportation, suggesting Aecon was looking for provincial support for the Toronto Gardiner tunnel. The proposal, sources said, never made it past the one meeting. Story continues below advertisement In 2019, the idea was revived once again, but this time it moved north to target the growing gridlock on Highway 401. The company filed an unsolicited proposal to Infrastructure Ontario offering a potential tunnel as the cure to highway congestion at a cost, sources said, of roughly $50 to $60 billion to build. The 22-kilometre expressway tunnel proposal would have taken drivers under the most congested portions of Highway 401 — from the 427 to the 404 — with periodic on and off-ramps and a potential connection to Toronto Pearson International Airport. While it's unclear how closely the two proposals would have aligned, Aecon appeared to be offering what governments had been looking for: a job-creating, traffic-alleviating solution along with 'world-class transportation infrastructure,' and entirely funded by the private sector. The pitch may have been tempting, with the Ford government now studying a strikingly similar plan to build beneath Highway 401.
Globe and Mail
7 days ago
- Business
- Globe and Mail
Aecon consortium reaches financial close on the Yonge North Subway Extension Advance Tunnel project in Ontario
TORONTO, Aug. 06, 2025 (GLOBE NEWSWIRE) -- Aecon Group Inc. (TSX: ARE) ('Aecon' or the 'Company') announced today that North End Connectors, an Aecon-led consortium in which it holds a 33.3% interest, has reached financial close with Infrastructure Ontario and Metrolinx on the Yonge North Subway Extension Advance Tunnel project in Ontario. The contract is valued at $1.4 billion, and Aecon's $477 million share of the contract will be added to its Construction segment backlog in the third quarter of 2025. Aecon previously disclosed this addition to backlog in its second quarter 2025 financial results, released on July 31, 2025. North End Connectors, comprised of Aecon, FCC Construcción and Ghella, will design and construct an approximately 6.3-kilometre tunnelled segment, launch and extraction shafts, and headwalls for emergency exit buildings and stations. The scope of work also includes the supply of tunnel boring machines, the installation of tunnel liners and other supporting activities. The project will extend the TTC's Line 1 subway service approximately 8 kilometres from the existing terminus at Finch Station in Toronto to York Region, serving communities in Markham, Vaughan and Richmond Hill. 'This transformative subway extension will improve access to transit for local residents, reduce travel times, support economic growth, and help to meet the needs of growing populations along the alignment,' said Jean-Louis Servranckx, President and Chief Executive Officer, Aecon Group Inc. 'Together with our partners, we look forward to bringing our expertise in safely and successfully delivering major transit tunnelling projects to connect communities in the Greater Toronto Area while working collaboratively with Infrastructure Ontario and Metrolinx,' said Thomas Clochard, Executive Vice President, Civil and Nuclear, Aecon Group Inc. Further information about the project is available on the Infrastructure Ontario and Metrolinx websites. About Aecon Aecon Group Inc. (TSX: ARE) is a North American construction and infrastructure development company with global experience. Aecon delivers integrated solutions to private and public-sector clients through its Construction segment in the Civil, Urban Transportation, Nuclear, Utility and Industrial sectors, and provides project development, financing, investment, management, and operations and maintenance services through its Concessions segment. Join our online community on X, LinkedIn, Facebook, and Instagram @AeconGroupInc. Statement on Forward-Looking Information The information in this press release includes certain forward-looking statements which may constitute forward-looking information under applicable securities laws. These forward-looking statements are based on currently available competitive, financial and economic data and operating plans but are subject to risks and uncertainties. Forward-looking statements may include, without limitation, statements regarding the operations, business, financial condition, expected financial results, performance, prospects, ongoing objectives, strategies and outlook for Aecon, including statements regarding: the anticipated commencement and completion of the project, and the anticipated benefits of the subway extension on local residents and growing populations. Forward-looking statements may in some cases be identified by words such as "may," "will," "expects," "target," "future," "plans," "believes," "anticipates," "estimates," "projects," "intends," "should" or the negative of these terms, or similar expressions. In addition to events beyond Aecon's control, there are factors which could cause actual or future results, performance or achievements to differ materially from those expressed or inferred herein including, but not limited to, the risk of not being able to meet contractual schedules and other performance requirements, the risks associated with a third party's failure to perform; the risk of not being able to meet its labour needs at reasonable costs; the risk of not being able to address any supply chain issues which may arise; the risk of the anticipated benefits from the project not being fully realized. These forward-looking statements are based on a variety of factors and assumptions including but not limited to that: none of the risks identified above materialize, there are no unforeseen changes to economic and market conditions and no significant events occur outside the ordinary course of business. These assumptions are based on information currently available to Aecon, including information obtained from third-party sources. While Aecon believes that such third-party sources are reliable sources of information, Aecon has not independently verified the information. Aecon has not ascertained the validity or accuracy of the underlying economic assumptions contained in such information from third-party sources and hereby disclaims any responsibility or liability whatsoever in respect of any information obtained from third-party sources. Risk factors are discussed in greater detail in Section 13 - "Risk Factors" in Aecon's 2024 Management's Discussion and Analysis for the fiscal year ended December 31, 2024 and Aecon's Management's Discussion and Analysis for the fiscal quarter ended June 30, 2025, each filed on SEDAR+ ( Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Aecon undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. For further information: Adam Borgatti SVP, Corporate Development and Investor Relations 416-297-2600 ir@
Toronto Star
7 days ago
- Business
- Toronto Star
Aecon consortium reaches financial close on the Yonge North Subway Extension Advance Tunnel project in Ontario
TORONTO, Aug. 06, 2025 (GLOBE NEWSWIRE) — Aecon Group Inc. (TSX: ARE) ('Aecon' or the 'Company') announced today that North End Connectors, an Aecon-led consortium in which it holds a 33.3% interest, has reached financial close with Infrastructure Ontario and Metrolinx on the Yonge North Subway Extension Advance Tunnel project in Ontario. The contract is valued at $1.4 billion, and Aecon's $477 million share of the contract will be added to its Construction segment backlog in the third quarter of 2025. Aecon previously disclosed this addition to backlog in its second quarter 2025 financial results, released on July 31, 2025. North End Connectors, comprised of Aecon, FCC Construcción and Ghella, will design and construct an approximately 6.3-kilometre tunnelled segment, launch and extraction shafts, and headwalls for emergency exit buildings and stations. The scope of work also includes the supply of tunnel boring machines, the installation of tunnel liners and other supporting activities. The project will extend the TTC's Line 1 subway service approximately 8 kilometres from the existing terminus at Finch Station in Toronto to York Region, serving communities in Markham, Vaughan and Richmond Hill.
Global News
05-08-2025
- Business
- Global News
Ford government started studying Hwy. 401 tunnel after private-sector bids: docs
Years before Ontario Premier Doug Ford stood in Etobicoke to declare his government's desire to build an express tunnel underneath Highway 401, the province began looking for ways to relieve North America's most congested artery. Instead of turning to the traditional public procurement process for solutions to Toronto's traffic woes, the government opted for a new route: an open portal where private companies could submit unsolicited proposals on public infrastructure projects. Over a three-year period, that portal, internal government documents reveal, received three unsolicited proposals to specifically alleviate traffic along the 401 — among them tunnels, tolled roads and managed lanes. In September 2024, Ford announced a feasibility study for a 50-kilometre tunnel beneath the province's largest highway and said he wanted a third-party analysis of the idea to determine the final length and scope of the mega project. Story continues below advertisement What Ford didn't mention when he stood at the podium was the fact his government had been considering the idea since 2019, had already studied it, and even abandoned the plan after encountering 'challenges and risks.' Hundreds of pages of internal government presentations and emails, obtained by Global News using freedom of information laws, demonstrate how suggestions from three private construction firms helped spark the idea to build one of the largest public infrastructure projects in Ontario's history. The Ministry of Transportation said in a statement the tunnel was part of its plan 'to build a modern and integrated transportation network, and give Ontarians options.' Private proposals In 2019, the Ministry of Infrastructure set up a new provincial portal to receive ideas for big projects from the private sector. The Ford government was looking for ideas that relate to Ontario's 'core types of infrastructure, including new transit infrastructure, health care facilities, highways, law enforcement facilities and housing.' Story continues below advertisement While it's unclear exactly how many proposals have been submitted to the government through the portal, the documents obtained by Global News show that, between 2019 and 2021, three separate private highway plans were sent to the government. One was for two 22-kilometre tolled tunnels under Highway 401, submitted by the construction firm Aecon in 2019. As Global News previously reported, the Aecon idea for a privately-operated tunnel solution to gridlock had also been pitched to the City of Toronto and to the previous Ontario Liberal government. Another proposal came, also in 2019, from Cintra for a ''U-Ring' of managed lanes' on Highway 427, Highway 401, the Gardiner Expressway and Don Valley Parkway. The final pitch, in September 2021, was to expand the central section of Highway 401 with tolled expressway lanes. That was submitted by Acciona. According to internal documents, the government directed civil servants to assess 'the feasibility and benefits of a tunnel or similar large-scale capital infrastructure project on the central Hwy 401 corridor.' Get daily National news Get the day's top news, political, economic, and current affairs headlines, delivered to your inbox once a day. Sign up for daily National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy The studies considered three tunnel concepts and two elevated roadways. View image in full screen A summary of Highway 401 tunnel bids contained in a government assessment. Global News Ontario NDP Leader Marit Stiles said she was concerned the private bids had helped to create the idea. Story continues below advertisement 'Usually in a situation like that you would not have them all arrive unsolicited; you would put out a public call and the government didn't do that,' she said. 'Whenever I hear about situations like that, it reminds me a little bit about the Greenbelt scenario, where suddenly some developers seem to know that there were going to be possible changes coming. So it's a question really of who knew what, when and why?' Project studied in detail Government documents suggest the 'initial assessment' of a tunnel under Highway 401 began sometime in late 2019, soon after the government's Unsolicited Proposal portal was populated with ideas. Hundreds of pages of emails viewed by Global News show officials with the Ministry of Transportation and external consultants studied the tunnel in detail to 'complete preliminary evaluation and costing of options including considerations for tunnelling beneath Highway 401.' Story continues below advertisement While the work was paused in 2021 — as the province began focusing on a GTA-wide transportation strategy — it was restarted in the summer of 2024, when two ministers were told about the plan. 'The original reason this briefing came about was because Minister Sarkaria and Minister Surma caught wind of the Tunnelling USP from a few years ago and requested a briefing,' one email sent between civil servants said. 'I believe that was in early July.' The vast majority of the messages were sent between civil servants and political staff through the summer of 2024 as they prepared to brief Infrastructure Minister Kinga Surma and Transportation Minister Prabmeet Sarkaria on what work had been done so far. The emails suggest work already completed on the tunnel included: a price estimate, technical studies and assessments of the market to build it. 'I see from previous materials that project planning was paused in late 2021, pending the release of the Greater Golden Horseshoe (GGH) Transportation Plan. Can you please confirm whether this work has resumed? And if not, why has it not resumed?' an email sent from a political staffer to a civil servant last summer asks. The email also requested, 'information on: any geotechnical work has been done already and what work will be required should tunnelling be pursued; the timelines for planning and design and estimated timelines for overall project; and finally, estimated costs of planning and design, and estimated costs Total Project Costs.' Another message from a civil servant highlighted the similarities between the plan Ford announced in the summer of 2024 and the work completed years earlier. Story continues below advertisement 'This is pretty much where the USP evaluation ended up,' one frustrated email read after Ford held a news conference to announce his plan. 'Would have saved us all a lot of time if MO simply gave this as a directive, ahead of this announcement. Now, let's wait for more clear instruction from MO/DMO.' MO is generally short for the minister's office, which is the political arm of the ministry. DMO usually means the deputy minister's office, run by senior civil servants. Stiles said the government should release the work it had previously done on a project she said its latest studies will show is unviable. 'We will be demanding the government release that information,' Stiles said. 'This is a process that raises a lot of questions; it seems to have been done secretly without a public request for proposals.' Despite the similarity, the Ford government has forged ahead by issuing a request for private companies to study whether a tunnel is feasible. Global News asked the Ministry of Transportation why it was launching a new feasibility study for the project, given the apparent breadth of its 2021 analysis. 'Initial proposals provided preliminary information however, the landscape has changed and studies show congestion has gotten worse, costing our economy $56 billion every year,' a spokesperson said. Story continues below advertisement 'We are looking at all options to get commuters out of traffic and this feasibility study will provide valuable information directly from industry partners.' Government gets 'antsy' to restart project Once the project had been revived, communications seen by Global News make it clear that political staff were keen to get moving. 'MO is following up weekly and getting antsy,' one early September email said. Another said: 'MO are also quite eager and have been asking regularly for this briefing — I don't think they understand what is taking so long (which is fair).' But roughly a year after the minister's office restarted the project, there has been no word on the status of the renewed feasibility study. Matti Siemiatycki, director of the infrastructure institute at the University of Toronto, said the tunnel was a 'dream' and not a practical plan. Story continues below advertisement Despite opposing the plan and saying it 'won't solve the problem' of congestion on Highway 401, he said the government should keep studying it after winning an election with it in their platform. 'Actually, I support them continuing to study it in part because the premier raised it in advance of the election — he won the election, so this is something that has now been through the political system,' Siemiatycki said. 'It should be studied technically and all the documents should then be released. And the public can see and then we make a decision on what to do.'
