U.K.-based Kentz shareholders approve SNC-Lavalin takeover
by The Canadian Press
Montreal-based SNC-Lavalin said 99.39 per cent of shareholder votes cast were in favour of deal
MONTREAL—SNC-Lavalin Group Inc. says its $2.1-billion cash takeover offer for Kentz Corp. Ltd. has received overwhelming support from shareholders of the United Kingdom-based engineering and construction company.
The Montreal-based engineering and construction giant says 99.39 per cent of the votes cast were in favour of the deal.
SNC-Lavalin says anti-trust clearances and approvals have been obtained and, subject to court approval, the deal is expected to become effective on Aug. 22.
The acquisition will increase SNC-Lavalin’s presence in the booming global oil and gas industry.
Kentz’ clients include major oil companies such as Exxon Mobil Corp., Royal Dutch Shell plc, Chevron Corp., Syncrude Canada Ltd. and Apache Corp.
Kentz has more than 15,500 employees in 36 countries
It’s the first big acquisition for SNC-Lavalin under CEO Robert Card, who was hired after the firm disclosed financial irregularities two years ago that led to fraud charges against several former employees, including a former chief executive officer.
SNC-Lavalin initially denied rumours last August it was mulling a bid for Kentz before announcing the massive cash deal this June.
