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Aecon completes $28.1 million equity financing

Mar 17, 2006
NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR DISSEMINATION IN THE UNITED STATES

Toronto, Ontario – March 17, 2006: Aecon Group Inc. (“Aecon”) (TSX:ARE) announced today that it has completed the previously announced issuance of 4,500,000 common shares at a price of $6.25 per common share for aggregate proceeds of $28,125,000. The common shares were offered for sale by a syndicate of underwriters led by National Bank Financial Inc. and GMP Securities L.P. and including Paradigm Capital Inc. and Raymond James Ltd.

Aecon has granted the underwriters an over-allotment option to purchase an additional 675,000 common shares at a price of $6.25 per share, exercisable at any time until 30 days following closing. If this over-allotment option is exercised it will result in additional gross proceeds of $4.2 million.

The proceeds of the offering will be used to fund the incremental working capital required to take advantage of the strong market conditions existing in Aecon's Industrial and Civil and Utilities divisions, to fund Aecon's investment in the Quito Airport concession, to secure meaningful additional surety capacity, and for general corporate and working capital purposes.

The securities offered have not been registered under the U.S.  Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Aecon is Canada's largest publicly traded construction and infrastructure development company. Aecon and its subsidiaries provide services to private and public sector clients throughout Canada and internationally. Aecon's shares are listed for trading on the Toronto Stock Exchange under the symbol ‘ARE'.