A £2.1 billion deal has been agreed paving the way for Canadian engineering giant SNC-Lavalin to snap up British design consultancy WS Atkins, which employees more than 100 architects in the UK
It was announced last night (20 April), that the boards of both companies had shaken hands on the takeover, which will see SNC-Lavalin pay 2,080p in cash for every Atkins share.
The move will see Atkins, which was ranked 10th in last year’s AJ100 league table, become part of a global £7.1 billion mega-company offering ‘integrated professional services and project management company with 53,000 employees’.
According to the announcement, the takeover will ’significantly improve SNC-Lavalin’s overall margins, and further balance its business portfolio.’
The statement reads: ’The acquisition will enhance SNC-Lavalin’s global position and addressable market in infrastructure, rail and transit and nuclear, combine two highly complementary businesses and increase both geographic reach and customer diversification globally.’
The Canadian outfit has offices in more than 50 countries and reported £10 billion revenue in 2015. The newly enlarged company will continue to have its headquarters in Montreal.
Once the deal has completed, Uwe Krueger will leave his role as Atkins chief executive and give up his role as director. However chief financial officer Heath Drewett is understood to have been offered the role of head of Atkins within the combined entity.