Kentz Acquires Further Construction Capability in Canada

CALGARY, May 16, 2014 /CNW/ - Kentz, the engineering and construction group, 
is pleased to announce that it has completed the purchase of the business of 
Alegro Projects and Fabrication Ltd ('Alegro'), an organization offering 
fabrication and construction services to the industrial sector in Western 
Canada. 
Highlights: 


    --  Strong fit with Kentz's existing Canadian operations;
        supporting strategy to increase Kentz's multi-discipline
        fabrication and construction services in Canada
    --  Adds structural, mechanical and piping (SMP) fabrication, along
        with site construction capability, to Kentz's existing
        in-country electrical, instrumentation and telecoms expertise
    --  Alegro has long-term customer relationships with repeat
        business in the Western Canadian market; working on multiple
        projects throughout the region
    --  Over 85 skilled employees, based in both the Nisku fabrication
        facility and on a number of project sites in Alberta
    --  Provides Kentz with a presence in the greater Edmonton area,
        Alberta's industrial heartland

Background to Alegro

Alegro designs, fabricates, and installs piping, structural steel, and storage 
tanks, along with a range of other oilfield equipment. The Company has been in 
operation since 2004 and is based in Nisku, Alberta.

Alegro has completed a number of significant facilities projects in Alberta, 
for clients in a variety of sectors; in particular oil and gas.

Rationale for acquisition

One of Kentz's strategic objectives outlined in its 2013 & Beyond strategy, 
was to acquire SMP capabilities, to augment its existing electrical and 
instrumentation (E&I) expertise, and to support Kentz as it evolves as a 
multi-disciplined construction contractor within the Canadian region. This 
will enable Kentz to target, self-perform and execute multi-disciplined 
construction opportunities as a prime construction contractor, as the company 
does in many other regions globally.

Business outlook for Canada

CERI estimates capital investment in the Canadian oil sands to add up to $207 
billion over the 2013-2022 period, and this estimate excludes additional 
maintenance, repairs and operational expenditures. This acquisition further 
supports Kentz's capability to significantly target a larger portion of the 
capital expenditure.

Paul Knowles, Director for Kentz's Construction Business Unit in Canada, said:

"The addition of Alegro to our existing E&I construction business in Canada, 
creates a wealth of opportunity for Kentz in the Canadian oil and gas 
construction market place. Alegro has a strong record of delivering for its 
clients and has a strong cultural fit with Kentz; I welcome all at Alegro 
onboard and look forward to working with them.

"The addition of further construction capability was a key strategic growth 
initiative identified by Kentz and combined with our engineering and technical 
services, gives us a rounded offering to existing and new clients across the 
region."

For further information see the Kentz website http://www.Kentz.com

About Kentz

Kentz is a global engineering specialist solutions provider, which serves a 
blue chip client base primarily in the oil and gas, petrochemical and mining 
and metals sectors. It is listed on the London Stock Exchange (symbol: KENZ). 
In the year ending December 2013, the company generated revenues of US$1.66 
billion and profit before tax of US$118.0 million and diluted EPS of 68.07 US 
cents.

Kentz has over 14,500 employees in 36 countries. Its three main business lines 
are; Engineering and Projects, Construction, and Technical Support Services 
(TSS). It has a proven track record of delivering mechanical, electrical, 
controls and instrumentation engineering, construction and management services 
in some of the most remote locations on earth.



SOURCE  Kentz Corporation Limited 
Kentz Corporation Limited - Media: Paul Youens, +44(0)20-3159-4000, 
communications@kentz.com 
To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/May2014/16/c1794.html 
CO: Kentz Corporation Limited
ST: Alberta
NI: CST MNA  
-0- May/16/2014 14:00 GMT
 
 
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