WSP lands Parsons Brinckerhoff for $1.35bn
WSP to buy Parsons Brinckerhoff from Balfour Beatty
Technical consultant WSP has confirmed it will acquire professional services consultant Parsons Brinckerhoff from Balfour Beatty in a deal worth $1.35bn.
Canada-headquartered WSP will buy the US-based consultant for $1.24bn plus an additional consideration for cash retained by Parsons Brinckerhoff of up to $110m, subject to certain closing and post-closing adjustments.
Parsons Brinckerhoff was reported to be responsible for the breakdown of merger talks between Balfour Beatty and Carillion.
UK paper The Telegraph stated that Atkins was previously in the running to buy the firm.
In a statement, WSP said the terms of the acquisition have been approved by the boards of directors of both WSP and Balfour Beatty plc.
The statement added that the acquisition will remains subject to certain customary closing conditions, including approval by shareholders and certain lenders to Balfour Beatty. These approvals are expected to be completed in the fourth quarter of 2014.
Parsons Brinckerhoff has around 170 offices and nearly 13,500 employees on five continents. The firm operates in transportation, power, energy, community development, water, mining and environment segments.
The combined business of WSP and Parsons Brinckerhoff will contain 31,000 employees across the world.
“Employees of both firms will benefit from the transaction, as we integrate our talents and make the most of our greater scale to continue to develop our people,” said Pierre Shoiry, president and chief executive officer of WSP.
“We expect to successfully reach the strategic objectives we had set for 2015, by creating one of the largest global pure-play professional services firms in our industry around our four pillars, namely our employees, our clients, our operational excellence and our expertise.”
