WorleyParsons Ltd
(ASX:WOR) is to acquire CNEC Engenharia, the engineering and project management operation of the Brazilian conglomerate Camargo Correa.
The purchase price is approximately $108.5 million comprising of around $83 million in consideration and $25.5 million which will be initially retained by the business as a non-core asset.
The business’ pro-forma earnings before interest, tax, depreciation and amortization for the year to June 2010 is estimated to be around $15.6 million.
WorleyParsons says the capability of CNEC, based in Sao Paulo, Brazil compliments the exiting capabilities of its resource and energy businesses and provides a springboard for the next phase of the company’s growth across South America.
WorleyParsons reported a profit of $390.5 million for the 2009 financial year.
