Enterprise Group, Inc.
TSX : E

Enterprise Group, Inc.

September 30, 2014 09:00 ET

Enterprise Group Completes 2014 Capital Expenditure Program and Updates Fort St. John Acquisition

ST. ALBERT, ALBERTA--(Marketwired - Sept. 30, 2014) - Enterprise Group, Inc. ("Enterprise," or the "Company") (TSX:E) is pleased to announce that the Company has completed the $20.0 million in capital expenditures intended for 2014. All equipment purchased via the capital program has now been received and deployed.

"We are very pleased at both the conclusion of our capital program for 2014 and the resulting increase in Enterprise's operating capacity," stated Leonard Jaroszuk, the Company's President and Chief Executive Officer. "We anticipate that we will require the entirety of this expanded operating capacity over the coming year. We have consistently stated that the benefits of our capital purchases would be most evident during the second half of 2014 and into 2015. We look forward to demonstrating their impact on our results."

Update on Fort St. John Acquisition

Enterprise is providing an update to its acquisition in Fort St. John, this acquisition is expected to close on October 10, 2014.

The final purchase price for the acquisition will be $13.5 million, equivalent to roughly a 3.3 multiple of EBITDA based on the acquisition target's most recent trailing twelve month audited financial statements period ending August 30, 2014. Enterprise has committed $3.0 million towards purchasing equipment intended to improve the acquisition target's fleet for 2015. The purchase price will be satisfied through a combination of Enterprise shares, cash, existing credit facilities and vendor take-back financing.

About Enterprise Group, Inc.

Enterprise Group, Inc. is a consolidator of construction services companies operating in the energy, utility and transportation infrastructure industries. The Company's focus is primarily construction services and specialized equipment rental. The Company's strategy is to acquire complementary service companies in Western Canada, consolidating capital, management, and human resources to support continued growth. Enterprise acquired of Artic Therm International Ltd. in September 2012, Calgary Tunnelling & Horizontal Augering Ltd. in June 2013, and Hart Oilfield Rentals in January 2014.

Forward-Looking Information

Certain statements contained in this news release constitute forward-looking information. These statements relate to future events or the Company's future performance. The use of any of the words "could", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. The Company's Annual Information Form and other documents filed with securities regulatory authorities (accessible through the SEDAR website www.sedar.com) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. The Company disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.

Contact Information

  • Candace Williams or
    Nathan Sellyn
    of Assembly Stakeholder Relations
    PH: 780-328-3863

    Leonard D. Jaroszuk - President & CEO, or
    Desmond O'Kell - Senior Vice President
    PH: 780-418-4400
    E: contact@EnterpriseGRP.ca
    Web: www.EnterpriseGRP.ca