Home Business SNC-Lavalin to buy out Britain's WS Atkins for $3.6bn

SNC-Lavalin to buy out Britain’s WS Atkins for $3.6bn

Canadian engineering giant SNC-Lavalin has announced a $3.6 billion deal to takeover WS Atkins PLC.

It was reported yesterday (April 20) that the firms had agreed a £20.80 per share deal, representing a total of $3.6 billion (around €3.36 billion).

The deal will create a $12.1 billion global company with 53,000 employees, bringing together two of the world’s leading rail and mass transit engineering consultants.

Subject to further approval, the acquisition, which will be funded through a combination of equity, debt issuance and a loan from CDPQ, is expected to be complete by September 2017.

SNC-Lavalin says that it does not expect jobs to be lost in Atkins but is expected to deliver $120 million cost savings by the end of the first full financial year.

Neil Bruce, SNC-Lavalin president and CEO, said: “By combining two highly complementary businesses, we will increase our depth and breadth of services to position us 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.

“Together, we will become part of a larger global organisation that will open the door to new opportunities for further growth and development.”

1 COMMENT

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Must Read

Dawlish to get new sea wall

Government funding of £80 million has been announced to provide a new sea wall at Dawlish that will improve protection both for the railway...

Unusual bridge strike closes one track of West Coast main line

An unusual bridge strike closed one track on the West Coast main line and caused a speed restriction to be imposed across...

Stuart Calvert to be new Digital Railway head

Stuart Calvert, director of programme technical services and supply chain at Network Rail’s Group Digital Railway (GDR), has been announced as its new managing...

Major organisation changes at Network Rail

Network Rail has announced sweeping changes to its organisation following the completion of new chief executive Andrew Haines’ ‘100 Day Review’.

Danny Di Perna replaces Laurent Troger to head Bombardier Transportation

It’s all change at the top as Laurent Troger resigns as president of Bombardier Transportation to “pursue opportunities outside the company”. Danny...