09/13/2013 09:44 EDT | Updated 11/13/2013 05:12 EST

Atco sells its half of South American joint venture to partner Tecno Fast

CALGARY - Atco Ltd. (TSX:ACO.X) has sold its half of the Tecno Fast Atco joint venture in South America to its partner for C$124 million.

The sale includes workforce housing assets, manufacturing facilities and offices in Chile, Peru, Colombia and Brazil.

Calgary-based Atco and Tecno Fast set up the joint venture in 1996.

"Atco's decision to sell its interest in the company is driven by an opportunity to capture significant value for our share owners," Brian Bale, the Atco Group's chief financial officer.

The company, which provides various types of temporary office space as well as workforce accommodation to construction and resource companies, said it remains committed to the South America through other subsidiaries.

Atco Structures and Logistics will evaluate re-entering the South American modular structures market in the future, the company said.