Hatch Mott MacDonald splits its joint venture 19 Nov 2015

Hatch and Mott MacDonald announce the separation of the Hatch Mott MacDonald (HMM) joint venture into two distinct businesses. HMM’s Canada business will become part of Hatch while HMM’s US business will become part of Mott MacDonald. HMM’s Pipelines business, which operate in both Canada and the US, will also join Mott MacDonald.

Hatch Mott MacDonald was created 20 years ago as a joint venture providing engineering and professional services to the North American infrastructure market. Since then it has been involved in the engineering design and construction management of a number of major underground projects including the Alaskan Way Viaduct Replacement project in Seattle, California high speed rail, the New York Siphon, the recently-completed Lake Mead Intake No. 3 tunnel, the ongoing East Side Access project in New York, and in Canada the Spadina Line subway extension and the Niagara tunnel. It currently serves the transportation, water/wastewater, tunneling, and oil and gas pipelines markets.

Since the joint venture was created HMM has grown into a major engineering and infrastructure business, with 3,000 staff and 77 offices throughout the USA and Canada.

In addition to the HMM joint venture, both Mott MacDonald and Hatch provide services in various North American sectors outside of HMM’s infrastructure markets. With the joint venture having more than fulfilled its original intent, Mott MacDonald and Hatch agree that the route to achieving their respective global growth ambitions is that they should now move forward as two separate businesses across North America.

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Mott MacDonald and Hatch will continue to operate in all sectors throughout North America. It says the change will enable both companies to focus on all markets and services, offer more expertise to more clients, and provide staff with greater opportunities.

“At a time of significant renewal in North American infrastructure, this change allows Hatch and Mott MacDonald and the staff of HMM to build and invest in new ways,” said Keith Howells and John Bianchini, the CEOs of Mott MacDonald and Hatch, in a joint statement.

Nick DeNichilo, Hatch Mott MacDonald’s CEO, will continue to lead the Hatch Mott MacDonald business until the company separation is concluded, at which point DeNichilo will become President and CEO of Mott MacDonald in North America. Hatch Infrastructure in North America will be led by Michael Schatz, Managing Director of Infrastructure.

The arrangements are expected to be finalized by early 2016.