Canada’s largest engineering and consultancy group, SNC-Lavalin, has reached an agreement to take over Kentz (KENZ), the FTSE 250 engineering company focused on the energy and resources sectors.
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Hold
at
929p
The all-cash offer of 935p a share values Kentz at £1.2bn and represents a 33 premium to the company’s share price before the offer. It is also substantially above a previous indicative approach for Kentz made by Amec (AMEC), the FTSE 100 oil services group, last summer which valued it at less than £700m, or between 565p and 580p a share. After that bid was abandoned, Kentz expanded its footprint in Latin America and the US shale gas market by acquiring oil services group Valerus Field Solutions for £265m in cash.