CH2M is snapped up by Jacobs Engineering for $2.85 billion
Jacobs Engineering Group has acquired CH2M for $2.85 billion creating a global engineering firm of $15 billion in revenue.
New York Stock Exchange-listed Jacobs, whose headquarters are in Texas, US, has previously targeted sectors served by CH2M, including water, for growth.
The combined group currently comprises four business units: building and infrastructure, including water and transportation, at $4.8 billion revenue; aerospace and technology, $3.7 billion; and with revenue of £3.3 billion each, petroleum and chemicals, and industrial.
“This is a significant step for both companies as we unite complementary cultures and capabilities, expand our presence around the world, and accelerate profitable growth. This deal is truly transformational and will set a benchmark for client service,” said Jacobs chair and chief executive Steven Demetriou.
Jacobs has formed an integration management office (IMO) to oversee the integration, to be jointly led by senior executives from both companies on a dedicated, full-time basis. Gary Mandel, who was Jacobs president of petroleum and chemicals, and Lisa Glatch, CH2M executive vice president for growth and sales, will lead the integration.
Jacobs has 54,000 employees worldwide, and CH2M has 20,000.
The deal is expected to close at the end of 2017.