SNC-Lavalin completes takeover of WS Atkins

Written by: Tom Austin-Morgan | Published:

Canadian engineering group SNC-Lavalin has announced the completion of its acquisition of UK-based design, engineering and project management consultancy WS Atkins, for £2.1 billion. Atkins has approximately 18,000 employees in the UK, US, Scandinavia, Middle East and Asia.

“By combining our two highly complementary businesses, we are solidifying SNC-Lavalin’s position as one of the largest fully integrated professional services firms in the world,” said Neil Bruce, president & CEO, SNC-Lavalin. “Together, we will become part of a larger global organisation that will open the door to new opportunities for further growth and development.”

Together, the companies have over 50,000 employees and annual revenues of approximately £66.5 billion.

Heath Drewett, group finance director and executive director of Atkins, now becomes president of Atkins and a member of SNC-Lavalin’s executive committee, reporting directly to Bruce.

“Joining SNC-Lavalin will provide us with the ability to offer our clients and employees the enhanced scale, capabilities, expertise and other benefits that come with being part of a larger and stronger global company,” said Drewett. “At the same time, we look forward to bringing our own unique project management, design, consulting and engineering capabilities to SNC-Lavalin’s clients. The result will be a more agile and responsive company that better meets client needs and creates cross-selling opportunities.”

The acquisition is expected to deliver approximately £71 million in cost synergies – £18 million from SNC-Lavalin and £53 million from Atkins – by the end of the first full financial year. These would mainly include eliminating corporate and listing costs, optimising corporate and back-office functions and shared services, streamlining IT systems, and real estate consolidation.

The acquisition became effective on July 3 following a vote by Atkins’ shareholders on June 26 and approval by the High Court of Justice in England and Wales on June 29.


This material is protected by MA Business copyright see Terms and Conditions.
One-off usage is permitted but bulk copying is not. For multiple copies contact the sales team.

Comments
Name
 
Email
 
Comments
 

Please view our Terms and Conditions before leaving a comment.

Change the CAPTCHA codeSpeak the CAPTCHA code