KBR to buy BE&K

US construction giant KBR as reached a definitive agreement to BE&K, a private engineering and construction company based in Birmingham, Alabama, US BE&K had sales of US$ 2 billion for the year ending March 30, and the transaction is valued at US$ 550 million.

BE&K employs 9000 people and has international operations in Poland and Russia. It is active in a range of private and public construction segments, with a strong presence in industrial sectors such as chemical, pulp & paper and food processing plants. In public construction, it has a track record in schools, healthcare and other government buildings, and this Buildings Group business, which is focused on US government projects, was one area that attracted KBR.

"Growing our services business unit remains a key strategic objective for KBR. Acquiring BE&K is a significant stop in re-establishing KBR as a leading North American contractor and maintenance services provider," said KBR chairman & CEO, William Utt.

BE&K chairman & CEO Mike Goodrich said, "The sale is the logical next step in the company's growth. This will bring both companies into new markets while growing those which BE&K already serves. Equally important, our cultures, values and the way we treat our employees, clients and communities are very similar."