09:18 AM EDT, 07/02/2024 (MT Newswires) -- Aecon Group ( AEGXF ) said Tuesday that its subsidiary Aecon Utilities Group agreed to acquire a majority stake in Xtreme Powerline Construction, a Michigan-based electrical distribution utility contractor, for a base purchase price of about US$73 million.

The transaction is being financed through Aecon Utilities' standalone committed revolving credit facility.

Xtreme specializes in overhead distribution line repair, maintenance and expansion services throughout the Eastern U.S., according to Aecon ( AEGXF ).

"By expanding our self-perform electrical distribution capabilities in the U.S., Aecon Utilities is enhancing its diverse service offering and key strategic initiative to strengthen relationships with U.S. utility clients in target markets and with significant requirements to repair, upgrade, and expand grid infrastructure," said Jean-Louis Servranckx, Aecon's ( AEGXF ) president and CEO.

Aeon's share price closed at nearly $17 on Friday on the TSX.