Jacobs Expands Nuclear Business With $300 Million Purchase of Scottish Firm's Assets

Dallas-based engineering firm Jacobs is expanding its nuclear power business with a $300 million acquisition of a Scottish firm's assets. Jacobs announced the deal Monday with John Wood Group, an Aberdeen, Scotland-based company that provides a range of services to the energy industry. About 90% of JWG's nuclear holdings are in England, including the U.K.'s largest independent nuclear research facility."This acquisition further strengthens Jacobs' position in highly profitable and complementary sectors within nuclear and defense, enhancing our recognized program management skills with deep, technical expertise," said Jacobs CEO Steve Demetriou in a statement.Jacobs said it expects the deal to close next year after regulatory approvals. JWG would get a $9 million breakup fee if the acquisition isn't completed.For JWG, the sale is a debt-cutting move. For Jacobs, it's a way to fortify its existing $1.2 billion nuclear portfolio and add a team that can help it expand into other areas of Europe and Asia.JWG's business generates about $285 million in annual revenue. Jacobs said the deal gives it a 2,000-employee workforce with "deep technical expertise with unique engineering and scientific skills" across the nuclear industry life cycle, including construction, decommissioning and operational support. "We are excited to welcome these talented employees to the Jacobs' team," Demetriou said. With annual revenue of $12 billion, Jacobs employs about 50,000 people worldwide. The engineering and construction consultancy moved its global headquarters from Pasadena, Calif., to Dallas in 2016.  Continue reading...