Tetra Tech, Inc. has secured an all-cash acquisition agreement with RPS Group plc for RPS Group at a value of 222 pence per share, according to a press release.
“The Board of RPS is pleased to recommend Tetra Tech’s offer, which provides our shareholders with even greater value for their shares,” Ken Lever, non-executive chairman of RPS, said. “Our combination with Tetra Tech will provide attractive opportunities and long-term benefits to our associates and global clients.”
The deal is intended to strengthen Tetra’s presence in the United Kingdom, European Union and Australia. It is also projected to significantly expand Tetra Tech’s existing water operations in the UK, boosting the company’s reputation in the renewable energy and environmental management industry.
“The RPS Group advances our long-term strategy to enhance our position as the premier global high-end consulting and engineering firm focused on water, environment, sustainable infrastructure and energy transformation,” said Dan Batrack, Tetra Tech chairman and CEO. “We welcome the RPS Group’s associates to join us and collectively leverage our long-term client relationships and project experience. As a global consultancy with a commitment to high-end solutions, we can offer our expanded team of associates even greater professional opportunities.”
The idea for the deal derived from RPS Group’s Board of Directors’ recommendations.
“Joining Tetra Tech represents a highly attractive combination of two leading companies in the industry for our clients and provides an ideal opportunity for our people to realize RPS’ goals to meaningfully contribute to the world’s most challenging problems in energy transformation and water management around the world,” John Douglas, chief executive of RPS, said. “I am very excited about the future of our combined company and the benefits for our people and clients. By joining together, Tetra Tech provides RPS and its employees with a strong and culturally aligned platform that creates a preeminent consulting and engineering firm addressing climate change and all its effects.”
RPS Group and Tetra Tech’s 26,000 associates combined have committed to work toward developing a global consultancy. Approximately 5,000 of the associates are representing RPS Group across Europe, the United Kingdom, Asia Pacific and North America as they offer energy transformation, water and government program management solutions. Tetra Tech’s 21,000 associates contribute to more than 70,000 projects per year worldwide.
“The combination of the RPS Group and Tetra Tech also advances both companies’ strategies to provide high-end consulting with an emphasis on advanced data analytics and unique software applications, such as those in water management, ocean analytics and contaminant modeling,” a recent press release explains.