Four months after URS agreed to an activist investor's demand for a reshaped board and new strategic options to boost its share price, the firm is set to be acquired by AECOM. The deal, worth about $6 billion in cash, stock, and assumed debt, would keep URS intact. The firms, which announced the transaction on July 13, said it would create the latest global giant, particularly in oil, gas, power, and government services, with more than $19 billion in revenue and 95,000 employees in 150 countries.
The $56.31 per share price is about 19 percent more than URS's 30-day average closing price, and 8.2 percent more than its $52.02 closing price (NYSE:URS) on July 11. The cash and stock portion of the acquisition offer is $4 billion. "I believe the Street had thought that AECOM would be one of the logical acquirers," said Maxim Sytchev, managing director and head of research at Dundee Capital Markets, Toronto. The firm (NYSE: ACM) closed at $31.76 on July 11.