Posted on September 5, 2025
Transaction Highlights
- Builds on Bird’s significant national Infrastructure presence, adding national marine construction and land foundation self-perform capabilities.
- Expected to enhance Bird’s Adjusted EBITDA Margins through focus on complex, specialized projects and self-perform work.
- Supports value creation through anticipated 7% Adjusted EPS accretion on full-year basis with potential for further growth and margin expansion from cross-selling opportunities and other synergies.
- Implied purchase multiple of 4.1x FRPD’s projected full year 2025 Adjusted EBITDA based on an estimated purchase price of C$82.3 million, exclusive of future synergies.
Bird Construction Inc. (TSX: BDT) (“Bird” or “the Company”) announced today that it has entered into a definitive share purchase agreement (the “Agreement”) under which Bird will acquire Fraser River Pile & Dredge (“FRPD”) for estimated aggregate consideration of $82.3 million (the “Transaction”). The Transaction, pending relevant regulatory approvals and the satisfaction of other customary closing conditions, is expected to be completed early in the fourth quarter of 2025.
Headquartered in New Westminster, BC, FRPD is Canada’s oldest and largest privately-owned marine construction, land foundation and dredging company with substantial self-perform capabilities. Founded in 1911, FRPD’s experienced workforce of over 300 salaried, hourly and craft personnel have earned a reputation for safety and high quality work while delivering some of the largest construction projects in Western Canada. FRPD’s construction and dredging experience also extends across Canada, with projects ranging from infrastructure support in the North, to dredging and port expansion in Churchill and the St. Lawrence Seaway, and marine environmental remediation in Hamilton Harbour. FRPD maintains a versatile marine and land construction equipment fleet, and has a specialized construction skillset that is well suited to Canada’s growing demand for infrastructure, including nation-building projects that support transportation, trade, defence, and energy requirements.
“FRPD is expected to be a catalyst for future growth, similar to our prior acquisitions. The addition of unique self-perform capabilities to Bird’s already extensive portfolio of operating locations provides Bird with a more comprehensive platform to support larger-scale projects for public and private clients across Canada. FRPD’s marine infrastructure, land foundation and dredging expertise complement Bird’s deep expertise in delivering complex construction projects across our three verticals of Industrial, Infrastructure and Buildings,” stated Teri McKibbon, President and CEO of Bird. “We are honoured to bring together two historic companies who have been foundational in the building of Canada. We look forward to welcoming the highly skilled FRPD team and leadership into Bird, combining our strong corporate cultures and unrelenting focus on safety. Together, the combined business will have access to even larger, more sophisticated projects, supporting Bird’s strategic goals for growth and continued margin accretion.”
“The acquisition by Bird is a pivotal part of FRPD’s nearly 115-year journey, as we combine our service offerings with a company that has been a driving force behind shaping the Canadian landscape for over 100 years,” said Sarah Clark, President and CEO of FRPD. “We look forward to leveraging our combined strengths to create additional opportunities across our respective client bases. FRPD’s culture of high quality delivery and self perform capabilities, augmented by Bird’s extensive resources and complementary services, is a winning combination for the future.”
STRATEGIC HIGHLIGHTS
Adds national marine infrastructure and land foundation expertise: FRPD brings a highly experienced leadership team and skilled workforce with the ability to execute projects of varying size, complexity, and scope.
Increases exposure to key secular tailwinds: Provides catalyst for future growth with combined company positioned to capitalize on opportunities related to the growing demand for infrastructure, including nation-building projects that support port expansion, transportation, trade, defence, and energy requirements.
Anticipated contribution to margin accretion: The combined company will leverage FRPD’s capabilities in higher margin self-perform and marine construction areas, as well as specialized land foundations expertise, to deliver further margin accretion.
Enhances core Infrastructure vertical: Further increases revenue generated by Infrastructure projects, advancing Bird’s strategy to balance its portfolio across its three core verticals, Industrial, Buildings, and Infrastructure, which is Bird’s fastest growing business.
Aligns with M&A criteria: The acquisition supports Bird’s M&A strategy of targeting high-performing, culturally aligned, complementary businesses with strong cross-selling opportunities, new and unique self-perform capabilities, and expanding the Company’s national civil infrastructure vertical.
FINANCIAL HIGHLIGHTS
The estimated cash consideration of $82.3 million is subject to customary purchase price adjustments and will be funded through a new term debt facility negotiated in connection with the acquisition. After the close of the transaction, Bird expects its debt ratios to remain consistent with the Company’s longstanding practice of maintaining low leverage. FRPD will be acquired on a cash-free, debt-free basis.
In connection with the transaction, Bird also amended its Syndicated Credit Facility, extending the maturity date to September 2028. The amendment included the replacement of existing term loan facilities with a new $215.6 million term loan facility that will be used to repay existing term loans, fund the acquisition, and repay a portion of existing non-current revolving debt. Consistent with prior facilities, 10% of the new term loan facility is repayable annually in quarterly instalments.
Following close, the Transaction is expected to be accretive to Bird’s Adjusted Earnings Per Share by approximately 7% on a full-year basis compared to 2025 consensus estimates1. Accretion may be further enhanced by future synergies including cross-selling opportunities.
On a pro forma basis, FRPD is expected to generate approximately $160 million of revenue and $20 million of Adjusted EBITDA. A strong backlog and pipeline of construction projects, combined with a long-term dredging contract and cross selling opportunities with Bird’s current operations, will support further growth in Adjusted EBITDA beyond the current year.
1Consensus estimates as at August 18, 2025
Transaction approvals
The Transaction is subject to approval under the Competition Act (Canada) and satisfaction of other customary closing conditions. Subject to the satisfaction of these conditions, the Transaction is expected to close early in the fourth quarter of 2025.
INVESTOR CALL
Bird will host an investor call to discuss the Transaction on September 4, 2025 at 9:00 am ET.
- Participants are invited to register for expedited access to the conference call: Registration Link
- Upon registering you will receive the dial-in info and a unique PIN to join the call as well as an email confirmation with the details.
- Attendees are asked to be on the line 10 minutes prior to the start of the call.
- The live webcast will be held at: Webcast Link
- The presentation can be found on our website at: Investor Presentation
