Hexagon moves to capture civil construction industry with AGTEK acquisition
Hexagon AB, a market leader in logistics and information technology solutions for industry, has made a forceful play to capture the civil construction industry with the acquisition of AGTEK. The leading US firm is a software specialist that supplies “planning and productivity solutions” to the heavy civil construction industry. Hexagon sees this as an area ripe for growth, as we move towards a more connected world.
Hexagon’s share price is up by 20% so far this year
SOURCE: Yahoo Finance
AGTEK is the company behind 3D takeoff (a cost-estimation software solution) and Earthwork 4D (a “complete takeoff, modeling, and production tracking solution for civil contractors”). The company is aimed at streamlining workflows or estimating and project management, and its software solutions are widely used in the U.S. market.
Hexagon’s president and CEO Ola Rollén, made the following comment over the deal:
"This acquisition gives construction contractors comprehensive field to enterprise solutions for construction management. AGTEK's track record for developing ground-breaking, easy-to-use products make them an important addition to Hexagon's Heavy Construction technologies portfolio."
"As we move towards a more connected world, civil construction projects will become increasingly digital, with a focus on intelligent workflows, asset management, and collaboration. The AGTEK acquisition reflects Hexagon's commitment to integrate intuitive 3D control solutions that minimise learning curves and implementation costs for results-oriented construction professionals. Ultimately, AGTEK's solutions will also bring value to our enterprise construction management software solution, HxGN SMART Build, designed to alleviate cost overruns and delays."
The company said that AGTEK “will be fully consolidated as of today” (March 15), and that the acquisition has no significant impact on Hexagon’s earnings.
Dominion holds Hexagon AB in its Global Trends Managed Fund.
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