Cabinet orders deeper security review of proposed Chinese takeover of Aecon Group
MONTREAL — Canadian security agencies are voicing their concern about the proposed takeover of Aecon Group Inc. by a Chinese state-owned business, prompting Ottawa to order a full national security review of the deal.
“Based upon the advice we have received from national security agencies we believe that there is a potential of injury to national security,” Karl Sasseville, a spokesman for Economic Development Minister Navdeep Bains, said in an interview.
He said the cabinet order is the next step in the “rigorous” review process but declined to specify what prompted security agencies to make this recommendation.
Toronto-based Aecon said Bains informed the company that cabinet has ordered a further investigation of the deal under the Investment Canada Act, which will take more time.