It will pay approximately AU$1.3bn (£764m) in cash for SKM, 6,500-person professional services firm headquartered in Australia and operating internationally. The purchase price reflects an enterprise value of AUS$1.2bn plus adjustments for cash, debt and other items.
SKM has significant operations in Australia, Asia, South America, and the UK and serves clients in multiple industries. Its UK projects have included the London 2012 Basketball Arena.
The transaction is subject to approval through a process that includes SKM shareholder and Australian Federal Court approval, Australian Foreign Investment Review Board approval as well as other closing conditions. The transaction is expected to close by the end of Jacobs’ first quarter of 2014 fiscal year.
Founded in 1964, SKM is an employee-owned company with broad consulting, planning, engineering, architecture, scientific and construction management capabilities. The company operates in industries including: mining and metals, building and infrastructure, water and environment, and power and energy. SKM’s 2012 revenue was approximately AU$1.3bn.
Jacobs president and CEO Craig Martin said: “SKM’s culture, values, and operating philosophy are very compatible with ours, making our companies an excellent fit. Our capabilities and geographies have little overlap, enabling the combined companies to continue to expand client relationships and provide significant opportunities for employees. We are very enthusiastic about the potential.”
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