Ontario Municipal Employees Retirement System

Ontario Municipal Employees Retirement System

September 13, 2005 17:30 ET

OMERS to Buy CEDA Holdings from Precision Drilling for $274 million

TORONTO, ONTARIO--(CCNMatthews - Sept. 13, 2005) - OMERS (the Ontario Municipal Employees Retirement System) announced today that it will purchase CEDA Holdings Ltd. from Precision Drilling Corporation for $274 million. The investment is being made through Borealis Investments Inc., an OMERS investment entity.

"As a leading industrial, mechanical and electrical services company well established in the expanding Alberta oil sands, CEDA represents an excellent investment opportunity," said Paul Haggis, President & CEO of OMERS. "We believe CEDA has growth potential and is the type of long-term investment that we need to meet the future pension obligations of our members."

CEDA, headquartered in Calgary with over 1,800 union and non-union employees, has four operating units: industrial, mechanical, catalyst and electrical. CEDA provides maintenance and "turn-around" services to the oil refining, petrochemical, pulp and paper, and power generation industries in Canada and the U.S. Established in 1972, CEDA has an excellent safety record and a long history of growth and profitability.

"CEDA is an excellent fit with our portfolio of energy generation and energy infrastructure assets," said Michael Nobrega, President & CEO of Borealis Infrastructure. "This is an industry where we have significant experience, expertise and knowledge and we are confident that we can grow this asset along with the rest of our energy portfolio. We look forward to working with the highly skilled management team and employees of CEDA as they continue to expand the scope and size of the business."

OMERS is one of Canada's largest pension plans, with more than $39 billion in assets. It provides retirement benefits to 355,000 members on behalf of 900 local government employers across Ontario.

Contact Information

    Debbie Oakley
    Senior Vice President, Corporate Affairs Division
    (416) 369-2402