Acquisition Doubles Vertex’s Fleet of Hydro-Vac Units & Expands Hydro-Vac Service Offering into the Edmonton Region
Sherwood Park, Alberta, July 3, 2018 (TSX.V:VTX) – Vertex Resource Group Ltd. (“Vertex”) is pleased to announce that it has acquired the business of a private company providing hydro-vac services to the Edmonton, Alberta region in a transaction valued at $4.3 million. This acquisition will double Vertex’s hydro-vac fleet with the addition of 11 hydro-vac units servicing clients in the municipal and utility industries.
The acquisition allows Vertex to continue to pursue industry diversification. This transaction will allow Vertex to expand its hydro-vac services into the Edmonton market with the ability to cross sell to existing Vertex customers.
“We are very excited to be expanding this service line to the Edmonton marketplace and are ecstatic about the addition of its experienced management team and operators. Their proven expertise, high quality service offering, safety program and culture allows us to confidently introduce this new service line in Edmonton to our customers” said Terry Stephenson, CEO and President of Vertex.
Based on historical financial information, it is expected that this acquisition will add approximately $5 million in annual revenue to Vertex. The transaction closed June 30th, 2018 and the private company began operating as Vertex.
Established in 1976, Vertex has grown to become a leading provider of environmental services. Headquartered in Sherwood Park, Alberta, Vertex employs a staff of approximately 750 employees that provide services to help clients achieve their development goals. From initial site selection, consultation and regulatory approval, through construction, operation and maintenance, to conclusion and environmental cleanup, Vertex provides a wide array of services to customers operating in industries such as upstream and midstream oil and gas, utilities, telecommunication, forestry, agriculture and government.
Vertex principally operates in western Canada and has operations in select United States locations.
For further information please contact:
Terry Stephenson, CEO, or Michael Zvonkovic, CFO at Phone: 780-464-3295
Any “financial outlook” or “future oriented financial information” in this press release, as defined by applicable securities laws, has been approved by management of Vertex. Such financial outlook or future oriented financial information is provided for the purpose of providing information about management’s current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other circumstances.
Certain statements contained in this news release, such as the Company’s beliefs and expectations related to the Acquisition and anticipated revenue associated with the acquisition, constitute “forward-looking information” as such term is used in applicable Canadian securities laws. Forward-looking information is based on plans, expectations and estimates of management at the date the information is provided and is subject to certain factors and assumptions, including, that the Company will be able to comply with its obligations under the Facilities. Forward-looking information is subject to a variety of risks and uncertainties and other factors that could cause plans, estimates and actual results to vary materially from those projected in such forward-looking information. Factors that could cause the forward-looking information in this news release to change or to be inaccurate include, but are not limited to, the risk that any of the assumptions referred to prove not to be valid or reliable, that occurrences such as those referred to above are realized and result in delays, or cessation in planned work, that the Company’s financial condition and development plans change, fluctuations in market conditions, as well as the other risks and uncertainties applicable to the provision of environmental and industrial services and to the Company as set forth in the Company’s Annual Information Form filed under the Company’s SEDAR profile at www.sedar.com. The Company undertakes no obligation to update these forward-looking statements, other than as required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.