Fluor sells Ameco South America
15 March 2023
Fluor Corporation has sold its construction and mining equipment business Ameco South America to Stracon Group. Financial details of the deal have not been released.
Peru-headquartered Stracon, which supplies mining and construction services across North and South America, says the acquisition will enable it to expand its geographic reach and service offerings in the mining sector.
According to the company, Ameco South America manages a fleet of approximately 1,000 specialty assets that are used by the mining sector and comes with an “unassailable platform” of relationships from which Stracon can expand its presence in Chile.
Steve Dixon, CEO, Stracon Group, said, “I want to welcome to Stracon the 1,365 people that have all worked tirelessly to establish Ameco South Amnerica as a trusted service provider to the mining sectors of both Peru and Chile.
“The Acquisition will add both scope and scale to Stracon’s operations, increase revenues by approximately 25%, add new service lines and geographies, and be immediately accretive to earnings.
“The Acquisition will not only strengthen our ability to bid on major projects in the region, but also further diversify our revenue streams.”
Following the acquisition, Fluor has now completed its plans to divest the construction equipment rental business, which it announced in 2019.
Since then, the company has sold the Ameco business in North America, as well as operations and assets in Africa, the Caribbean and Mexico to allow it to focus on its “core business and capital priorities.”