30th Mar 2010 07:00
AMEC plc
30 March 2010
AMEC acquires leading UK environmental and engineering consultancy Entec Holdings Limited
AMEC, the international engineering and project management company, announces today the acquisition of Entec Holdings Ltd (Entec), the UK-based environmental and engineering consultancy, from its owner-managers and investors, Growth Capital Partners, for an initial consideration of £61.2 million. The acquisition has been made on a cash free/debt free basis and the consideration has been settled in cash. Further payments may be made, subject to retention and performance.
Entec has a leading position in the water services and wastewater sector. It also provides renewable, nuclear and other energy services, industrial engineering, contaminated land and regeneration services, environmental planning and project management services. Entec's customers span government, utility and private sector companies, and the acquisition will strengthen AMEC's relationships with existing customers, as well as provide access to new ones. The company has some 700 professional employees and is headquartered in Newcastle with 14 offices across the United Kingdom.
The acquisition is fully aligned with AMEC's Vision 2015 strategy of assured growth; Entec broadens the Earth & Environmental division's geographic footprint in Europe and it also strengthens its capabilities in the water and energy sectors. The acquisition is expected to be earnings enhancing immediately, and to meet its weighted average cost of capital in the first full year post acquisition.
"Acquiring Entec Holdings Ltd is another important step in our strategy of enhancing our water and environmental consulting capabilities internationally," said Roger Jinks, President of AMEC's Earth & Environmental division.
Elaine Moore, Executive Vice President Europe and United Kingdom, AMEC Earth & Environmental, added: "The addition of Entec's high quality people significantly enhances our position in the water sector around the world. The acquisition also supports AMEC's goal of strengthening the Earth & Environmental division's footprint in Europe."
Enquiries to:
AMEC plc +44 (0) 20 7539 5800
Sue Scholes, Director of Communications
Nicola-Jane Brooks, Investor Relations
Notes to Editors:
AMEC plc
·; AMEC (LSE: AMEC) is a focused supplier of high-value consultancy, engineering and project management services to the world's natural resources, nuclear, clean energy, water and environmental sectors. With annual revenues of over £2.5 billion, AMEC designs, delivers and maintains strategic and complex assets for its customers. The company employs over 21,000 people in around 40 countries worldwide. See amec.com
Entec Holdings Ltd
·; Entec is one of the UK's largest environmental and engineering consultancies. The technical and business skills of over 700 staff and associates are dedicated to delivering strategic, technical and engineering solutions which bring commercial benefits to customers in the UK and overseas. This know-how is based on over 60 years of consulting experience in the public and private sectors. See www. entecuk.com
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