) acquired Flint Energy Services Ltd. for C$25.00 per share in cash
and approximately C$1.24 billion (US$1.24 billion) in total. The
company entered into the agreement in February 2012.
The acquisition expands URS' presence in the oil and gas sector.
The North American unconventional oil and gas segments have been
growing and with this acquisition URS will derive significant
benefits in these segments. The company will now be able to provide
a comprehensive set of engineering, procurement and construction
services to its energy sector clients.
Above 10,000 employees from Flint have been added to URS and a
network of approximately 80 locations in North America. The network
supports oil, oil sands and gas producing companies in regions of
Western Canada and in the Southwest, Appalachian and Rocky Mountain
regions of the United States.
Flint has been added as the new Oil & Gas division of URS
and this new division of URS will be based in Calgary, Alberta.
Flint's former President and CEO, W.J. (Bill) Lingard, will be the
division's president. URS' 2012 earnings will include the positive
effect of the acquisition.
URS Corp. provides engineering, construction and technical
services. The company offers a broad range of program management,
planning, design, engineering, construction and construction
management, operations and maintenance, and decommissioning and
closure services to public agencies and private sector clients
It is also a major U.S. federal government contractor in the
areas of systems engineering and technical assistance, and
operations and maintenance. Major competitors of URS are
AECOM Technology Corporation
We currently maintain our Neutral rating on URS Corp. with a
Zacks #3 Rank (short-term Neutral recommendation) over the next
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