Major UK transportation consultant Atkins is set to be acquired by Canadian engineering and construction group SNC-Lavalin in a deal worth around £2.1Bn.

 

The acquisition is expected to be completed in the third quarter of this year and according to SNC-Lavalin will create a £9.4Bn global professional services and project management company with 53,000 employees.

 

“By combining two highly complementary businesses we will increase our depth and breadth of services to position us as a premier partner to public and private sector clients,” said president and chief executive of the Canadian firm Neil Bruce.

 

But a senior professional from a rival consultant warned that the move brings uncertainty at a time of growth for the industry.

 

“With a pipeline of important projects such as High Speed 2, Crossrail 2, the Silvertown Tunnel and the Lower Thames Crossing coming up the sector does not need uncertainty within its bigger players,” the source told TP Weekly News.

 

The source added that the takeover could ultimately see Atkins become a more competitive player within UK consulting but in the short term may unsettle its staff.

 

As part of the integration process SNC-Lavalin will conduct a review of Atkins’ businesses to determine any organisational and structural changes. This, according to the Canadian firm, is not expected to have a ‘material impact’ on the continued employment of Atkins’ 18,000 global staff.

 

“I look forward to welcoming Atkins’ employees into our combined company. Together, we will become part of a larger global organisation that will open the door to new opportunities for further growth and development,” commented Neil Bruce.

 

The acquisition of Atkins also marks a step further in the direction of consolidation within the UK’s consultancy marketplace, another senior transportation consultant told TP Weekly News. “From a client point of view that makes things tricky because the number of consultants competing for work is reducing,” the source said.

 

“But in some ways Atkins will still be Atkins, just with a different parent company. It would be different if the company was merging with another UK based consultant.”