Tetra Tech completes acquisition of WYG
California-based engineering and consulting firm Tetra Tech has announced its acquisition of UK engineering consultancy WYG. News of the acquisition was first made public in May, when WYG agreed to the sale.
“Becoming part of Tetra Tech brings the benefits of scale and access to broader expertise across highly complementary geographies and client relationships,” Jeremy Beeton, WYG’s chairman, said in a press release at the time. “It also brings the operational infrastructure and financial strength to support WYG’s long-term ambitions, whilst we provide Tetra Tech with a strong platform for growth in the UK and Europe. We believe the combination will provide greater opportunities for our people and our clients as well as offering certainty of immediate value to our shareholders."
Under the acquisition, WYG becomes part of the Tetra Tech group. The firm’s 1,600 employees will join Tetra Tech’s 20,000 associates operating in more than 450 locations around the world. Tetra Tech will centrally reinforce its UK presence – which currently encompasses Swindon, Harrogate, Manchester, Reading, and London – with the addition of WYG's 22 British locations.
“The addition of WYG advances our strategy to be the premier global high-end consulting, engineering, and program management firm,” Dan Batrack, Tetra Tech chairman and CEO, said in a statement. “WYG’s expertise in infrastructure and program management, as well as water and environmental services, enables us to deliver innovative solutions to support the UK’s infrastructure needs. Together, we will provide an expanded scope of services to our customers and offer our combined staff even greater professional opportunities.”
WYG in February issued a profit warning, blaming “political uncertainty” in the UK. The warning saw the firm’s stock dramatically drop, first by 42%, then a further 11% two weeks later, following the announcement of the resignation of CFO Iain Clarkson.
WYG operates in more than 30 locations in the UK, Europe, Africa, and Asia, helping customers “create value, protect value, and manage risk” through six business streams: international development; infrastructure and built environment; program and project management; surveying and asset management; and environmental, planning, and transport.
Tetra Tech provides consulting, engineering, program management, construction management and technical services solutions to problems regarding water, environment, infrastructure, resource management, energy, and international development. The firm last year generated a revenue of approximately $3 billion.
