A must read for Bird Investors...https://www.enr.com/articles/49844-canadas-heavy-construction-sector-gets-a-player-shakeup
Canadian contractor Stuart Olson, based in Calgary, is set to be acquired by larger domestic rival Bird Construction, headquartered in Mississauga, Ontario.
The deal between the two publicly held firms, both traded on the Toronto Exchange, is set to close in the fourth quarter.
It would create a major Canada contractor with a current combined workforce of about 5,000, total backlog of more than $2.25 billion, $750 million in joint pending backlog and close to $2 billion in estimated revenue—despite the "modest takeover price" of about $77.3 million, says Toronto-based analyst Maxim Sytchev with National Bank of Canada.
Sytchev remains bullish on Bird, maintaining his outperform rating on its stock and with a price target of $10 a share, noting that is “quite large for a stock trading at $6.70.” Bird’s management team also has a good track record in incorporating new assets acquired from other companies, he said.