Canada’s SNC-Lavalin Group has reached an agreement to acquire UK-based design, engineering and project management consultancy WS Atkins in a takeover worth CA$3.6 billion (€2.43 billion).
The deal has been approved by the boards of directors of both companies, on the terms of a cash acquisition by which SNC-Lavalin will acquire the entire issued and to be issued share capital of Atkins for £20.80 (€24.62) per share in cash.
Atkins’ roots go back to 1938, and now has 18,000 employees, with revenues of approximately £2.0 billion (€2.4 billion) in 2016. It is active in the US, Middle East and Asia, plus the UK and Scandinavia.
Neil Bruce, president and CEO of SNC-Lavalin, said, “We are very pleased to announce this proposed acquisition that is fully aligned with our growth strategy, creating a global fully integrated professional services and project management company – including capital investment, consulting, design, engineering, construction, sustaining capital and operations and maintenance.”
He said that by combining two “highly complementary businesses”, the depth and breadth of services would be increased to position his company as a premier partner to public and private sector clients.
“It also creates new revenue growth opportunities in key geographies by positioning us to capitalise on increased cross-selling and the opportunity to win and deliver major projects in new regions,” he said.
The original offer was made at the beginning of April.