Skanska USA has acquired the construction company Industrial Contractors Inc.
and its affiliated companies, based in Evansville, Indiana, for USD 135 M, about
SEK 870 million on a debt free basis. Industrial Contractors Inc. is a leading
contractor in the commercial, industrial and power markets of the Midwest. The
company employs 2,400 people and in 2011 the revenues are estimated to be
approximately USD 500 M, about SEK 3.2 billion. The transaction was signed and
closed yesterday, December 28, 2011.
Industrial Contractors Inc. operates three separate business streams: Power &
Energy, Commercial & Light Industrial and Heavy Industrial. All three streams
add valuable capabilities and possibilities to Skanska. The company has a solid
reputation in the Midwest, with a long history of high-profile, complex work.
Industrial Contractors Inc. has built and maintained major facilities for some
of the largest and most respected companies in the industrial sector. In the
power and energy sector, they recently completed a natural gas-fired, combined
cycle facility in Dresden, Ohio, and the coal gasification facility for Duke
Energy in Edwardsport, Indiana.
"This follows our strategy to increase our portfolio of services and expand the
geographical presence of our civil operations. Industrial Contractors Inc. has a
strong reputation in sectors we want to grow in, such as power and industrial.
This is overall an exceptionally well run company with a good financial
performance and a culture that supports our core values", says Johan Karlström,
CEO and President.
Industrial Contractors Inc. was founded in Evansville in 1964 by Charles Braun
and has been consistently profitable. Today the son of the founder, Alan Braun,
is Chairman and Chief Executive Officer.
"Skanska is a company with a family-feel which is one of the many things we
like. Our cultures are very similar and we are aligned when it comes to safety,
ethics, quality, giving back to the community, and environmental
responsibility," says Alan Braun, Chairman and CEO of Industrial Contractors.
Industrial Contractors Inc. will be included as an operating unit within Skanska
USA Civil under the name, Industrial Contractors Skanska. The unit will then
make up about a third of Skanska USA Civil. The current management team of
Industrial Contractors Inc. will remain in place and the president Denny Quinn
will continue to run Industrial Contractors Skanska’s day-to-day operations.
Alan Braun will stay on as an active advisor to Industrial Contractors Skanska’s
Midwest operations as well as Skanska’s national civil operation.
Skanska USA is one of the leading development and construction companies in the
country, consisting of four business units: Skanska USA Building, which
specializes in building construction; Skanska USA Civil, specialized in civil
infrastructure; Skanska Infrastructure Development, which develops
public-private partnerships; and Skanska Commercial Development, which develops
commercial development projects in select U.S. markets. Headquartered in New
York, Skanska USA has approximately 7,400 employees and its 2010 revenues were
SEK 34.3 billion.