Insituform Technologies, Inc. (Nasdaq Global Select Market: INSU) today announced the completion of an internal reorganization whereby a new Delaware parent holding company, Aegion Corporation, has been created to provide corporate and administrative services for its operating subsidiaries (Insituform Technologies, The Bayou Companies, Corrpro Companies, United Pipeline Systems, CRTS, Fibrwrap Construction Services and Fyfe). In the new structure, Aegion replaces Insituform as the public company, and Insituform and its former direct subsidiaries are now direct subsidiaries of Aegion. Aegion’s common stock is traded on the Nasdaq Global Select Market under its new symbol “AEGN.”
Upon completion of the reorganization and without any action on the part of the Insituform stockholders, each share of Insituform common stock (with its attached preferred stock right) was converted into one share of Aegion common stock (with an attached preferred stock right). The management and board of directors of Aegion are identical to that of Insituform prior to the reorganization, as are the certificate of incorporation, bylaws and other corporate governance documents.
J. Joseph Burgess, President and Chief Executive Officer of Insituform, and now Aegion, said: “There are inflection points in every company’s evolution, moments that reflect a major shift in strategy. That moment came for Insituform in 2011 when for the first time our global sewer contracting business will represent less than 50 percent of our revenue, after representing approximately 88 percent of our revenue in 2007. This transition was the direct result of the implementation of our strategic plan to diversify into higher growth and higher return products and services in the energy and mining and high growth commercial and structural rehabilitation markets.”
Burgess continued: “The Insituform name represents where we came from. It identified the flagship technology that is closely aligned to the trenchless sewer rehabilitation business upon which this company depended for so many years. As one of that industry’s most powerful and recognizable brands, we will continue to use the Insituform name for our subsidiaries and products that operate in the water and wastewater business segments.”