Alan Krause is named executive vice president of Canada-based design firm Stantec Inc., following the May 6 closing of its $795-million acquisition of engineer-constructor MWH Global, of which he was chairman and CEO. Krause will be president of the MWH unit’s global operations and lead its Stantec integration, he and Stantec CEO Bob Gomes told ENR. The deal provides MWH with better access to capital for growth and market expansion; Stantec gains from integrating a water-sector leader with a more global platform for acquisitions and lessens its dependence on the oil-and-gas sector. “Water is less cyclical than commodities,” said Gomes. MWH also gains a foothold in Canada, added Krause.
The executive said overlap and culture clash between the firms is minimal and that MWH’s Innovyze software and Hawksley consulting units, as well as its construction business, will remain intact, focused mainly on the needs of water-sector clients, particularly in the U.K. “Construction is a different business,” said Gomes. “We won’t integrate it. We will bundle it.” Krause said having the varied services “under one roof is a risk-aversion strategy.” Stantec will announce its first-quarter earnings on May 12.