Plotted by close date where disclosed, otherwise announcement. Select any marker to jump to the deal entry.
Three patterns run through AECOM's acquisitions — what it looks for, how it pays, and how it folds in what it buys.
4 acquisitions — each with the deal value, financing structure, target revenue, and executive commentary where disclosed.
URS Corporation was a San Francisco-based engineering, construction and technical-services firm with strong positions in oil & gas, power, government services and infrastructure. AECOM acquired all outstanding URS shares in a cash-and-stock merger that valued URS equity at roughly US$4 billion, or about US$56.31 per share, and carried a total enterprise value of approximately US$6 billion including assumed debt. URS holders could elect US$53.991 in cash or 1.8879 AECOM shares per share. The combination created a fully integrated infrastructure and federal-services provider with more than 95,000 employees across 150 countries and roughly US$19 billion in 2013 pro forma revenue. Approximately $6 billion enterprise value (~$4 billion equity; $56.31 per URS share).
Today is an exciting and historic day for our industry, for AECOM and URS, and for our nearly 100,000 people around the world who are serving our clients in over 150 countries. Beyond the compelling benefits that this transaction creates for our combined clients, stockholders and employees, the combination of AECOM and URS dramatically accelerates our strategy of creating an integrated delivery platform with superior capabilities to design, build, finance and operate infrastructure assets around the world.Michael S. Burke — Chief Executive Officer, AECOM
Tishman Construction was a leading U.S. construction-management firm with operations in the United States and the United Arab Emirates, about 900 employees and nearly US$1 billion of 2009 revenue. The US$245 million transaction expanded AECOM's higher-margin construction-management and program-management business in a global market that Engineering News-Record then estimated at more than US$100 billion, and it brought Tishman's arts, commercial, education, gaming, health care, hospitality and transportation project experience into the AECOM platform.
The addition of Tishman to the AECOM enterprise reflects our commitment to execute on our stated strategy of growth and diversification. We are expanding our portfolio of global expertise and enhancing our ability to meet the growing customer demand for turnkey solutions, including integrated design, engineering and construction services.John M. Dionisio — President and Chief Executive Officer, AECOM
Joining AECOM is the logical next step in the continued growth and success of Tishman, allowing us to expand our reach globally and seize new opportunities as part of the worldwide AECOM team.Dan Tishman — Chairman and Chief Executive Officer, Tishman Construction
Earth Tech was the engineering and environmental-services business of Tyco International, providing consulting, engineering and design-build-operate services across water and wastewater, environmental, transportation and facilities markets. The acquisition broadened AECOM's global presence — particularly across the Americas, Europe, Australia and Asia — and strengthened its water/wastewater and environmental franchises, lifting AECOM's workforce past 40,000. Concurrent with closing, AECOM divested certain Earth Tech units (Water & Power Technologies, North American Contract Operations and Mexican operations) representing about US$175 million of the original US$510 million transaction value. US$510 million (original transaction value).
We are delighted to welcome Earth Tech into the AECOM family. This transaction, which expands our workforce to more than 40,000 professionals around the world, enhances our ability to take advantage of the growing business opportunities that exist in our global end markets. We expect this transaction to benefit our clients, employees, and shareholders.John M. Dionisio — President and Chief Executive Officer, AECOM
McNeil Technologies was a Springfield, Virginia-based government national-security and intelligence-services firm that AECOM agreed to acquire from private-equity owner Veritas Capital for US$355 million in cash. McNeil added intelligence, information-technology and cyber-security capabilities and about 1,500 employees serving the Department of Defense, Department of Homeland Security and the broader U.S. intelligence community, and it led AECOM's national security and intelligence programs. McNeil generated roughly US$245 million of revenue in the twelve months ended December 31, 2009.
Our acquisition of McNeil Technologies expands AECOM's U.S. government business and advances our strategy of positioning AECOM to participate in fast-growing markets. McNeil brings a unique expertise to AECOM in intelligence, information technology and cyber security and diversifies our strong base of federal government relationships.John M. Dionisio — President and Chief Executive Officer, AECOM
McNeil generated approximately US$245 million of revenue in the 12 months ended December 31, 2009, and has a history of strong cash flow and profitability. We are pleased to be in a position to put our balance sheet to work to fund strategic acquisitions in today's highly attractive M&A market.Michael S. Burke — Executive Vice President & Chief Financial Officer, AECOM