Epsom’s largest employer will be subject to more than £90million of “cost synergies” after agreeing to a £2.1billion takeover by a rival Canadian engineering and construction group.
WS Atkins, an engineering consultancy based in Ashley Road, Epsom, agreed to the multi-billion pound acquisition by SNC-Lavalin this week.
In a statement announcing the takeover, the Canadian engineer firm declared it expected the takeover to “deliver approximately $120million (£93.77million) of cost synergies by the end of the first full financial year” after the move goes ahead.
A SNC-Lavalin spokesperson also wrote that it expected Atkins’ employees to be “a key factor in maximising the opportunities”, but said the acquisition would not result in worse “remuneration terms” for Atkins management and employees, and that existing contractual and statutory employment rights would be “fully observed”.
Atkins has 18,000 employees and last year its revenues were about £20bilion.
An SNC-Lavalin spokesperson wrote: “SNC-Lavalin considers that Atkins’ employees will be a key factor in maximizing the opportunities that the acquisition will present and the executive leadership of the combined entity will also aim to retain the best talent across Atkins and SNC-Lavalin.”
SNC-Lavalin president and CEO Neil Bruce said: “We are very pleased to announce this proposed acquisition that is fully aligned with our growth strategy, creating a global fully integrated professional services and project management company – including capital investment, consulting, design, engineering, construction, sustaining capital and operations and maintenance.
“By combining two highly complementary businesses, we will increase our depth and breadth of services to position us as a premier partner to public and private sector clients.”
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