AMEC to acquire Australia-based Zektingroup
AMEC, the international engineering and project management company, has entered into an agreement to acquire Zektingroup (Zektin), an Australian-based specialist engineering consultancy for the oil and gas and resources industries, from its owner-managers for a total cash consideration of AU$48 million. Of this total, AU$37 million will be paid at closing, which is anticipated later in February, with the balance to be made subject to performance, over the next two years.
Zektin is a 200-person engineering consultancy that provides front-end engineering design (FEED) and engineering services to the oil and gas market, in particular coal seam methane (CSM), and the controlled-environment market, which includes the bioprocess, biotechnology and pharmaceuticals sectors. The company is headquartered in Melbourne with a regional office in Brisbane.
The acquisition of Zektin is fully aligned with AMEC's Vision 2015 strategy of assured growth through a strengthened geographic footprint and enhanced capabilities in key sectors.
"Acquiring Zektin is another important step in our growth strategy in Australia and in the oil and gas sector," said Neil Bruce, Chief Operating Officer of AMEC. "The acquisition provides AMEC with oil and gas capability on the east coast of Australia, as well as access to the CSM sector, which is one of our target markets. I am delighted to welcome this team of professional consultants to AMEC."