Utility Contractor

MAR-APR 2018

As the official magazine of NUCA, Utility Contractor presents the latest information affecting every aspect of the utility construction industry, including technological advancements, safety issues, legislative developments and instructional advice.

Issue link: http://digital.utilitycontractoronline.com/i/947577

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Page 10 of 43

Utility Contractor 11 Granite Construction to Acquire Layne Christensen in $565 Million Transaction Granite Construction Inc. and Layne Christensen Co. announced Feb. 14 that they have entered into a definitive agreement whereby Granite will acquire all of the outstanding shares of Layne in a stock-for-stock transaction valued at $565 million, including the assumption of net debt. As a leading water management, construction, and drilling company with the No. 1 position in well drilling and a No. 2 position in cured-in-place pipe (CIPP) rehabilitation, Layne significantly enhances Granite's presence in the large and growing water infrastructure market. "This strategic transaction brings together two complementary organizations to create a platform for growth, delivering significant benefits for shareholders, employees, and customers," said James H. Roberts, president and CEO of Granite. "With Layne's expertise and leading water positions, Granite will advance its goal of becoming a full suite provider of construction and rehabilitation services for the water and wastewater market. With enhanced scale and capabilities, Granite will be better positioned to address the growing water and wastewater needs throughout the infrastructure lifecycle. We expect this transaction will create value for shareholders in both the near- and long-term, including earnings accretion on an adjusted basis and synergy realization. As a stronger player in the attractive water and wastewater sector, we will have significant opportunities to capture a larger share of the market and accelerate our growth prospects." The combined company, including Granite's existing water business, will have water-related revenues of approximately $600 million, positioning Granite as a national leader across both the transportation and water infrastructure markets. Together, Granite and Layne will have nearly 7,000 employees and serve a diverse and growing customer base. The transaction, which was unanimously approved by the boards of directors of both companies, is expected to close in the second quarter of 2018. Core & Main's Thom Receives AWWA Award Paul Thom, Senior Manager of Business D e v e l o p m e n t with Core & Main, was recently awarded the Benjamin G. Mason Award of Excellence by the Minnesota chapter of the American Water Works Association (AWWA MN). The award is given to an AWWA MN manufacturer, engineer or vendor member who has "demonstrated exemplary service to the drinking water community and to AWWA's mission and goals." In addition, Thom has been nominated for the John Lechner Award of Excellence, which is the national level of this award, to be announced next June at the AWWA Conference in Las Vegas. Thom has been with Core & Main and its predecessor companies since 1990, serving in various sales and marketing roles. He has been a member of AWWA since 1999, and currently serves on the Minnesota and National AWWA Manufacturers Associates Councils after assisting on several other committees.

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