Denver-based Saunders Construction has invested in and established a partnership with Heath Construction, Fort Collins, that will allow Heath to acquire more local work and tackle more complex and larger projects in Northern Colorado’s accelerating construction market.
“We’re a local construction company that now operates with the horsepower of a $400-million firm,” said Heath President Randy DeMario. “The investment has vastly increased our capabilities without compromising our local character and relationships with the local business community. Northern Colorado always will be our home.”
“This is an investment where we share 50-50 ownership with Randy. It’s not a merger, acquisition or joint venture,” said Saunders Chairman and CEO John Beeble. “Heath’s excellent reputation, solid financial history and legacy of local work drove our investment decision.”
Financial details of the investment were not disclosed.
The companies remain separate entities, Heath’s name and location will remain the same, and DeMario continues as president. Heath’s company values are unchanged. The resources available through Heath’s association with Saunders will far exceed the resources that a mid-sized contractor could normally afford.
The result, officails say, will be much faster growth for Heath and the ability to secure more complex and technically demanding projects as Northern Colorado continues to mature. Saunders is also providing Heath professional, administrative and field manpower to help the company staff new projects.
Heath is getting additional technology, including software that will streamline its operations. In addition, Saunders is providing increased bonding capacity and access to its market knowledge, expertise and ongoing relationships with subcontractors, project owners and others.
“I approached John about the opportunity,” DeMario said. “Heath emerged from the recession financially strong. But to grow fast enough to keep up with all the project opportunities emerging in the Northern Colorado market, I knew we’d need more horsepower. It made sense to talk to John about Heath’s potential and the boost a Saunders investment could give us.”
As Heath president, DeMario will continue to run the company, making decisions related to day-to-day management and key customer relationships. DeMario and Beeble will collaborate on strategy and long-term planning for Heath. Beeble also will serve on Heath’s board of directors.
Heath’s broad portfolio of work features many local projects for customers from Woodward Governor to Colorado State University, Avago and the city of Fort Collins, and national companies such as Walmart.