Dutch consulting giant Arcadis has revealed it is to buy Hyder for £256M cash – the latest deal to emerge from the current dramatic takeover trend in the UK engineering market.
Arcadis said the deal was a “natural step” for it as it referred to itself as the world’s leading design and consultancy firm, and that it would strengthen its engineering capabilities in infrastructure, buildings, water and natural resources, as well as in different regions.
The Dutch firm previously bought into the wider UK consulting world with the purchase of EC Harris in 2011.
“Hyder is a unique company with a long history of being involved in the leading edge of design and engineering,” said Arcadis chief executive Neil McArthur. “Through the transaction we see an excellent opportunity to better serve our clients by further deepening our capabilities in global design and engineering in growth markets whilst creating exciting career opportunities afforded by a stronger global growth platform for staff in both companies. The transaction will create value for Arcadis shareholders by accelerating our sustainable growth strategy and through the synergy opportunities that arise from the combination.”
Hyder chief executive Ivor Catto said: “Arcadis’ recommended cash offer announced today represents a significant premium to Hyder’s current share price. Although the Board believes that Hyder has a strong future as an independent business, it considers that this cash offer substantially recognises Hyder’s growth prospects, and provides certainty, in cash, to our shareholders today. The resultant group should also provide further opportunities for our highly valued clients and staff.”
An interim management statement from Hyder this morning said it had strong order books for Australia, the Middle East and in Germany.