DRUMMONDVILLE, QC, April 2, 2013 /CNW Telbec/ - CVTech Group Inc. ("CVTech" or "the Corporation") (TSX: CVT) today announced that it has completed the acquisition of all the issued and outstanding common shares of B.G. High Voltage Systems Limited ("B.G. High Voltage"), a provider of electrical services located in Scarborough, Ontario.
Founded in 1987, B.G. High Voltage specializes in the planning, installation and maintenance of substations, transformers, as well as overhead and underground electricity distribution systems. The purchased price amounted to $2.7 million, subject to post closure adjustments, and was financed through the Corporation's available liquidities. For the 12-month period ended March 31, 2013, B.G. High Voltage generated revenues of approximately $8.5 million.
"The acquisition of B.G. High Voltage considerably increases the scope of our service offering in Ontario. It also allows CVTech to attain a critical mass and provides significant cross-selling opportunities with our existing operations. Ontario has established a plan to invest $87 billion in its electricity network over 20 years, hence our eagerness to increase our presence in this market. I extend a warm welcome to all B.G. High Voltage employees who are joining CVTech," said André Laramée, President and Chief Executive Officer of CVTech.
OVERVIEW OF THE CORPORATION
CVTech is a company operating in the energy sector. The Corporation is a leading provider of construction and maintenance services to the public utility and heavy industrial markets mainly in Quebec, Ontario and the eastern United States. Through its subsidiaries, the Corporation provides maintenance and construction services for electricity transmission and distribution networks, substations and electrical power houses, as well as the control of vegetation on rights-of-way for electrical lines.
FORWARD-LOOKING STATEMENTS
This document may contain forward-looking statements that reflect management's current expectations regarding future events. Forward-looking statements are based on a number of factors and include risks and uncertainties. Actual results may differ from forecast results. Management has no obligation beyond what is required under the law to update or revise forward-looking statements pursuant to new information or future events.
Further information regarding CVTech is available in the SEDAR database (www.sedar.com) and on the Corporation's website at www.cvtech.ca.
SOURCE: CVTECH GROUP INC.
André Laramée, MBA
President and Chief Executive Officer
819-479-7771
[email protected]
Mario Trahan, CPA, CMA
Chief Financial Officer
819-479-7771
[email protected]
MaisonBrison Communications
Martin Goulet, CFA
514-731-0000
[email protected]
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