CA$200 Million Financing Deal Boosts Morgan Construction

News Summary

Gordon Brothers has secured a CA$200 million financing deal for Morgan Construction, aimed at enhancing working capital, supporting new equipment purchases, and facilitating growth. The financing package includes a five-year revolving credit facility and an accordion feature, allowing for increased borrowing capacity. Alongside financial support, Gordon Brothers will provide long-term asset advisory services to ensure sustainable growth. This collaboration highlights Morgan Construction’s commitment to community involvement and operational excellence within Canada’s construction sector.

Gordon Brothers Secures CA$200 Million Financing for Morgan Construction Growth

Gordon Brothers, a prominent global financial services and asset management firm, has successfully facilitated a significant financing deal of CA$200 million (approximately $146.3 million) for Morgan Construction. This strategic move aims to bolster Morgan Construction’s working capital, enable the acquisition of new equipment, and fuel the firm’s overall growth.

The financing package features a five-year revolving credit facility valued at $109.8 million and includes an additional accordion feature of nearly $40 million. This comprehensive financing deal not only provides necessary funds but also ensures financial flexibility for Morgan Construction as it continues to expand its operations in Canada.

Long-term Support Through Advisory Services

In addition to the financing, Gordon Brothers will offer its expertise through long-term asset advisory and consulting services via its subsidiary, Nations Capital. This partnership aims to provide Morgan Construction with a robust support system designed for sustainable growth in a competitive market.

Kyle Shonak, Chief Transaction Officer at Gordon Brothers, has mentioned that the firm recognizes Morgan Construction as a respected family-run business and a leader in the construction sector. Gordon Brothers’ approach to this partnership is comprehensive, combining lending with advisory and asset knowledge for long-term development.

Critical Equipment Expertise for Expansion

The importance of Gordon Brothers’ equipment expertise has been underscored as pivotal for Morgan Construction’s operations and its ongoing expansion efforts in Canada. The support from Gordon Brothers is particularly relevant in sectors that require specialized equipment and financial acumen.

A Tailored Approach to Capital Solutions

Gordon Brothers specializes in providing both short- and long-term capital solutions tailored to the specific needs of its clients. The firm works closely with management teams, private equity sponsors, and lenders to deliver invaluable capital coupled with their extensive industry expertise. This tailored approach ensures that clients like Morgan Construction receive the precise support they require for growth.

Expanding Presence in Canada

With a strong presence in Canada, Gordon Brothers is committed to supporting local borrowers with customized solutions that cater to unique market needs. Morgan Construction, recognized as one of Canada’s leading heavy civil contractors, has a deep understanding of the regional marketplace and aims to leverage this financing to enhance its offerings in earthworks, environmental services, demolition, and site development, primarily within the energy and mining sectors.

Headquartered in Edmonton

Headquartered in Edmonton, Alberta, Morgan Construction boasts an impressive workforce of over 1,100 employees and has established partnerships with more than sixteen Indigenous communities. With a rich history dating back to 1903, the firm prioritizes maximizing liquidity through realizable asset value while providing clients with expert guidance across asset services, lending, financing, and trading.

Overall, the financing collaboration between Gordon Brothers and Morgan Construction signifies a pivotal moment for the contractor as it positions itself for future growth amidst the evolving demands of the construction industry. With this substantial financial backing, Morgan Construction is well-equipped to continue leading in its sector and expanding its services across Canada.

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Additional Resources

• The Star: CA$200 Million Financing for Morgan Construction
• Home Textiles Today: Gordon Brothers Liquidity Boost
• Chain Store Age: Linen Chest Credit Facility
• Cleveland.com: Joann Employees at Risk of Layoffs
• Encyclopedia Britannica: Construction Financing