Aecom is acquiring Shimmick Construction for $175M
Aecom wants to capitalize on California’s increased infrastructure budget
With billions of dollars in transit developments approved across the state, Aecom is looking to claim a larger share of California’s infrastructure projects.
The Century City engineering and construction giant, whose projects includes the new NFL stadium in Inglewood, announced it would acquire Oakland-based construction firm Shimmick Construction in a $175 million deal that’s expected to close in September.
Michael Burke, Aecom’s CEO, said the deal would enhance its construction capabilities as California and the country invest more in infrastructure improvements, the Los Angeles Times reported.
The company said California’s infrastructure market is expected to see nearly double-digit growth in each of the next four years. President Trump has also called for $1 trillion in infrastructure spending, though his administration has not yet put forth a concrete proposal.
Shimmick’s projects include the Metro Orange Line, the replacement of the Gerald Desmond Bridge in Long Beach and repair work on the Golden Gate Bridge.
Aecom’s revenue was last year was $17.4 billion. It operates in more than 150 countries and its projects include New York’s One World Trade Center and high rises in Abu Dhabi, United Arab Emirates. [LAT] — Subrina Hudson