USA: Acquisition Veritas Capital Acquires Capital Services Business from CB&I
The private equity investment firm Veritas Capital announced that one of their affiliates has signed a definitive agreement to acquire the Capital Services business of CB&I for $ 755 million.
New York/USA — Veritas invests in companies that provide critical products and services, primarily technology and technology-enabled solutions, to government and commercial customers worldwide, including those operating in the aerospace & defense, healthcare, technology, national security, communications, government services, energy, and education industries.
The Capital Services business acquired from CB&I has approximately 15,000 employees globally and generated more than $ 2 billion of revenue in 2016. It provides integrated maintenance services, environmental engineering and remediation, infrastructure EPC services, program management, and disaster response and recovery for private sector and government customers. The business serves a diverse mix of commercial customers in the power, oil & gas, chemical, manufacturing and retail sectors. Government customers include U.S. federal departments and agencies such as the DoD, DoE, FEMA and EPA, as well as state and local governments.
The transaction is anticipated to close in the second quarter. Upon closing, Capital Services will be renamed and will operate as an independent company. Existing senior management will continue to lead the business, the acquiring party announced.
E. Chip Ray, Executive Vice President of Capital Services, said, “This transaction establishes CB&I’s Capital Services business as an independent company with the support of a premier investment firm. Veritas Capital brings a long history of successful stewardship, a deep understanding of our markets, and a global network of relationships that will be invaluable to our business. With Veritas as a partner, we are excited and confident that we will be able to capitalize on the many attractive opportunities ahead.”