URS Corporation (URS) to be Acquired by AECOM Technology
San Francisco, California based URS Corporation, originally known as United Research Services, is a global engineering, construction and design company founded in 1904.
Shares of the URS Corporation (URS) were up +3.08 or +5.92 to $55.10 per share in pre-market trading Monday morning, after AECOM Technology (ACM) announced on Sunday it would be taking over URS in a deal worth $6 billion. URS Corporation stock closed at $52.02 per share, up +1.09 or +2.14 percent in Friday's regular trading session.
Los Angeles, California based AECOM Technologies was founded in 1990 and its name is an acronym for Architecture, Engineering, Consulting, Operations and Maintenance. The company is a transnational firm specializing in construction services such as architecture, building engineering and construction services. The company employs almost 47,000 people and has offices in the Americas, Asia, Africa, Europe, the Middle East and Australia/New Zealand.
The agreement, finalized yesterday, will have AECOM acquire all of URS's outstanding shares paying URS shareholders $33 in cash, as well as 0.734 shares of AECOM common stock for each one of their URS shares. The deal works out to about $4 billion, or $56.31 per URS share, a 20 percent premium over the average of the share price over the last 30 days and an eight percent premium over Friday's closing price. In addition, AECOM will assume $2 billion of URS debt, making the deal worth a total of about $6 billion.
Michael S. Burke, AECOM's President and Chief Executive Officer stated that,