MasTec Acquires Canadian Oil and Gas Construction Firm for $103 Million in Cash
MasTec is well-known for being a leading infrastructure construction company across various industries, so its announcement this morning that it is acquiring an oil and gas pipeline and facility construction services company should not come as a surprise.
Big Country Energy Services is based in Calgary, Canada, and Florida-based MasTec has previously made it clear it wants to expand along with Canada's energy industry.
For around $103 million in cash, the assumption of approximately $24 million in debt, and a five-year contingent earn-out, MasTec will acquire a business whose services include oil, natural gas, and natural gas liquids gathering systems and pipeline construction; pipeline modification and replacement services; and compressor and pumping station construction.
Big Country employs some 1,200 employees and owns 600 pieces of construction equipment that will significantly expand MasTec's ability to exploit the growing energy infrastructure opportunities present in the North American energy infrastructure market.
MasTec said it will provide additional details about the acquisition during its second-quarter earnings conference call that is tentatively scheduled for Aug. 2.
The article MasTec Acquires Canadian Oil and Gas Construction Firm for $103 Million in Cash originally appeared on Fool.com.Fool contributor Rich Duprey has no position in any stocks mentioned. The Motley Fool recommends MasTec. The Motley Fool owns shares of MasTec. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.