黑洞社区

A bidding war for engineering consultant Scott Wilson has been sparked after a 拢161m deal was tabled by US firm URS this morning.

Although a statement from Scott Wilson said a deal had been reached, moments later an announcement from US rival CH2M Hill declared its own interest in the firm and said an announcement would follow shortly.

黑洞社区 revealed two weeks ago that the UK company was talking to two US firms about a takeover after receiving interest in the company from various sources, including European trade players. It is understood the board is keen to tap into the US market.

A source familiar with the mergers and acquisitions market in the consultancy sector said: 鈥淐H2M Hill would only make a statement like that if it could match or better that price.

鈥淚t鈥檚 a bit embarrassing that the auction is being played out in public like this but ultimately it鈥檚 not a lot of money for either firm.鈥�

Speaking about the URS offer Scott Wilson chairman Geoff French said: 鈥淚n an increasingly global marketplace, the board believes that a combination with URS will significantly enhance Scott Wilson鈥檚 future prospects and we are excited about our future together.鈥�

The CH2M Hill statement said: 鈥淐H2M HILL has undertaken due diligence on Scott Wilson and is considering its position with respect to making a cash offer for Scott Wilson. CH2M HILL will make a further announcement shortly.鈥�

The source added: 鈥淪cott Wilson may have shown favour for a deal with URS because the transaction began sooner or it is a better deal for management.鈥�

The announcement comes on the same day that Scott Wilson published its results for the year ended 2 May 2010.

They show turnover of 拢340.4m, down 6% on last years figure of 拢360m, which was in line with City expectations. Operating profit was 拢23.9m up on 拢22.6m last year while growth from international business grew, representing 37% of total turnover.