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Mitie buys UK project designer JCA Engineering for up GBP32 million

4th Sep 2023 08:34

(Alliance News) - Mitie Group PLC on Monday said that it has acquired JCA Engineering Ltd, a Stevenage, England-based project designer and contractor.

The Glasgow-based facilities management company bought JCA for a maximum cash payment of GBP31.5 million.

The price tag is comprised of an initial payment of GBP21 million and deferred payments of up to GBP10.5 million over three years. Mitie said this will be funded from its existing facilities.

JCA recorded earnings before interest, tax, depreciation and amortisation of GBP5.1 million in 2022, up 4% from 2021, on revenue of GBP71.8 million in 2022, up 17%.

Mitie said JCA has 20 years of experience in delivering complex engineering projects across the UK, with a focus on data centres and on the life sciences and healthcare sectors. Its strengths are in mechanical and electrical works, asset upgrades and replacements, and office fitouts.

"The acquisition of JCA Engineering follows the group's strategy to invest in high-growth, high-margin companies, enhancing our projects capabilities in the growth areas of energy efficiency, office fit-outs and critical environments," said Mitie Chief Executive Phil Bentley.

Mitie shares were trading 1.1% higher at 98.80 pence each in London on Monday morning.

By Holly Beveridge, Alliance News reporter

Comments and questions to [email protected]

Copyright 2023 Alliance News Ltd. All Rights Reserved.

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