CH2M Hill finalizes acquisition of VECO

Petroleum News

Denver-based CH2M Hill said Sept. 7 that it has finalized the acquisition of VECO, initiating a sign-changing effort at VECO’s headquarters building in Anchorage the same day. The two companies signed a letter of intent for exclusive negotiations on May 15.

“Our extensive due diligence has confirmed this is an outstanding company with an exceptional workforce and project resume,” said Lee McIntire, president and chief operating officer of CH2M Hill, a global full-service engineering, construction and operations firm. “Like CH2M Hill, our new colleagues’ business operations are built on a commitment to safety, quality and client satisfaction. The employees of VECO are a great fit for our firm. We are proud to call them our colleagues.”

The former VECO organization includes businesses specializing in program management, construction, engineering, procurement, operations and maintenance that have been serving oil and gas, mining and power clients since 1968, CH2M Hill said in a press release. In addition to its base of operations in Alaska, VECO has major operations in other parts of the United States, western Canada, Russia and the Middle East.

The VECO name will go away, replaced by CH2M Hill.

“The Allen family is pleased that VECO’s legacy of hard work, client service and professional excellence will continue with this acquisition. The transaction results in over 4,000 VECO employees becoming CH2M Hill shareholders, and we see a very bright future for our loyal employees and VECO clients,” said Tammy Kerrigan, who served as chair of VECO’s board.

“The acquisition of VECO represents the single largest investment that CH2M Hill has made and speaks to our commitment to Alaska,” said Garry Higdem, who will lead the new business for CH2M Hill. “This deal augments CH2M Hill’s existing oil and gas experience and provides us a world-class platform to bolster our project delivery capabilities around in the world.”

Employee-owned CH2M Hill generates more than $5 billion in revenues each year and has more than 23,000 employees in regional offices around the world.