Hatch and Mott MacDonald have announced that the Hatch Mott MacDonald (HMM) joint venture will be separated into two distinct businesses. HMM’s Canada business will become part of Hatch, while HMM’s U.S. business will become part of Mott MacDonald. HMM’s Pipelines business, which operates in both Canada and the U.S., 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. HMM currently serves the transportation, water/wastewater, tunneling, and oil and gas pipelines markets. HMM has grown into a major engineering and infrastructure business, with 3,000 staff and 77 offices throughout the United States and Canada. The company ranked No. 2 in the Trenchless Technology annual survey of trenchless engineering firms.
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.
Mott MacDonald and Hatch will continue to operate in all sectors throughout North America. The change will enable both companies to focus on all markets and services, offer more expertise to more clients, and provide their staff with greater opportunities. Keith Howells and John Bianchini, the CEOs of Mott MacDonald and Hatch, issued a joint statement: “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.”
Nick DeNichilo, Hatch Mott MacDonald’s CEO, will continue to lead the Hatch Mott MacDonald business until the company separation is concluded. At that point, DeNichilo will become President and CEO of Mott MacDonald in North America following the separation of Hatch Mott MacDonald into two distinct businesses. Hatch Infrastructure in North America will be led by Michael Schatz, Managing Director of Infrastructure.
These arrangements are expected to be finalized by early 2016.