Quebec’s AGF Group acquires C&T Reinforcing Steel

AGF Group based in Quebec has acquired C&T Reinforcing Steel which, it says, will expand the new company’s reach into the Ontario and Alberta markets and increase the solutions and services offered.

"The acquisition gives the new company, AGF-C&T Inc., the ability to bid and be active on all major projects in the GTA (Greater Toronto Area) and Ontario in general, because we already had some locations in the province," said Serge Gendron, president of AGF Group.

"In Alberta, we are in the position to act on much larger projects, than AGF and C&T have done before. So, it’s a win-win situation, because our customer base has more options, when they come with a big proposal. It also gives us access to very interesting and new markets."

AGF Group, which is headquartered in Longueuil, Que. announced on Sept. 11 that it has acquired C&T Reinforcing Steel.

The acquisition starts the process of integrating two of the leading providers of reinforcing steel products in Canada into one company called AGF-C&T Inc.

"With the acquisition, AGF  has definitely increased their capacity and ability to service projects in Toronto, now that they have a fabrication facility in the Greater Toronto Area. They are servicing the whole province now," said Sam Costa President AGF-C&T Inc.

"The big story is really Alberta, because AGF had a shop in Calgary and C&T had shops in both Calgary and Edmonton. So, now we are going to retain two shops in Calgary, which gives us quite a bit of capacity to serve the Alberta market."

Prior to the acquisition of C&T’s Toronto operations, AGF Group was doing work for the GTA from their facilities in Kitchener and Sudbury.  AGF Group also has facilities in London, Oakville, Ottawa, Sarnia, Windsor, Markham and Woodstock.

C&T is headquartered in Toronto with branches in Calgary and Edmonton.

"It’s a good example of what an integration should look like. We are going to take the best practices of both organizations and the whole company will benefit from that throughout Canada," said Gendron.

"C&T was doing things in a way that was very effective and we will copy a lot of those practices and processes."

As part of the acquisition, Costa retains his position as a president and is responsible for operations in both Alberta and Ontario.

"One of the interesting things about AGF  acquiring C&T in Alberta is the exposure to the oilsands market," said Costa.

"We entered that market four years ago and that now provides them with a good foothold into the oilsands market. And, the acquisition also provides better exposure to the Edmonton market, with our shop in Fort Saskatchewan."

The acquisition has merged the operations of both companies in Alberta. For this reason, Costa considers the operation in Alberta as more of a merger than an acquisition.

Gendron pointed out that business opportunities in Alberta are not limited to the construction of oilsands facilities. He said there are a lot of infrastructure projects being undertaken by provincial and municipal governments in Edmonton and Calgary.

In Ontario, AGF Group simply acquired C&T and each location is being operated independently, but they are sharing resources.

According to Gendron, one of the most important benefits of the acquisition is the integration of two established companies with very similar business cultures.

"There is a really good culture in C&T, which is similar to ours," he said. "We are both family companies. We have a lot of things in common. So, the integration is going really well. WE have been in business for 66 years and for C&T iti si something like 45 years."

AGF Group was established in 1948 and has grown its operations by merging with companies that offer similar products and services. The company specializes in reinforcing steel, post-tensioning,  scaffolding and access, as well as innovative construction techniques, including cross-laminated timber panels.

Today, AGF Group is made up of more than 36 business units located in Canada, the United States, Europe, the United Arab Emirates, the Middle East, the Caribbean and Africa.

C&T Reinforcing Steel Co. Limited was established in 1987. The company provides reinforcing steel products to general contractors and developers, for homes, schools, residential, commercial and industrial buildings, entertainment and sports facilities, highway bridges, tunnels and other structures.

C&T conducts business primarily in Canada, but has also worked in parts of the Caribbean.