Following a national trend of mergers and acquisitions in the construction industry, a Kansas City, Missouri-based contractor is making moves to cement its infrastructure presence in the Pacific Northwest.
Garney, a national water and wastewater contractor, recently acquired Emery & Sons Construction Group, a Salem, Oregon-based heavy civil and underground utility contractor, according to a company news release. The acquisition strengthens Garney’s ability to deliver a wide range of civil and municipal infrastructure, CEO David Burkhart told Construction Dive.
The deal brings Emery & Sons’ nearly 60 years of experience to Garney’s offerings, particularly in underground utility and heavy construction areas. Garney did not disclose the financial terms of the deal.
“The Pacific Northwest is a region we’ve evaluated for years because the long-term demand for water and infrastructure investment is strong,” Burkhart said. “This acquisition strengthens our ability to deliver larger, more complex work in the region by establishing a permanent base with the right foundation in place.”
A few trends lend context to the acquisition, Burkhart added.
First, Garney sees strong demand around water and wastewater construction. Echoing comments public builders have made on earnings calls, Burkhart said communities across the country are investing heavily to maintain aging systems and keep up with long-term demand.
Second, the workforce shortage is a factor. Owners need partners who have the field leadership and craft workforce to execute successfully, Burkhart said. Moves like the Emory & Sons acquisition “help strengthen pipelines and create long-term career opportunities,” he added.
“This decision wasn’t driven by a short-term revenue target,” Burkhart said. “It was about establishing lasting capability in the Pacific Northwest with a team that already has the experience, equipment and local knowledge to do this work at a high level.”
Both companies will continue to operate under their existing names and leadership teams as they integrate, according to the release.
The move will ultimately support Garney’s long-term vision of becoming a full-service water solutions provider by broadening in-house capabilities for earthwork, transmission and distribution pipelines, as well as water mains and other large-scale civil components that are essential to complex water projects, according to the release.
