01:19 PM EST, 01/23/2025 (MT Newswires) -- Aecon Group ( AEGXF ) and AtkinsRealis ( SNCAF ) joint venture have been awarded the Pickering refurbishment contract by Ontario Power Generation, solidifying revenue visibility as nuclear momentum continues to pick up the pace, notes National Bank, describing the contract confirmation and high-level quantification of pro-forma revenues for the two companies as an "incremental positive."

Total associated revenues for each of Aecon ( AEGXF ) and AtkinsRealis ( SNCAF ) stand at $2.1 billion, with $1.1 billion for the early works stage and $1 billion thereafter. With the first phase expected to be completed next year, National roughly estimates incremental annualized revenues of about $600 million for both companies.

"At a high level, today's announcement continues to reinforce our view that the current resurgence in the nuclear space . . . is a multi-decade thematic tailwind given the admittedly conflicting dynamic of accelerating demand for power and broad-based decarbonization initiatives," writes analyst Maxim Sytchev.

Aecon Group ( AEGXF ) is rated Sector Perform, with a $30 target.

AtkinsRealis ( SNCAF ) is rated Outperform, with an $87 target.

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