LOS ANGELES—AECOM Technology Corporation made three significant acquisitions in February: Earth Tech, Inc.; Boyle Engineering; and Tecsult, Inc. AECOM said Earth Tech, purchased for $510 million, will strengthen its key markets, including water/wastewater, environmental, and transportation. Earth Tech reported revenue of $1.3 billion in it fiscal year 2007 and has 7,000 employees worldwide. After closing, AECOM expects to divest certain Earth Tech operations that are not in the consulting engineering and design, build, and operate services areas. Preliminary estimates placed the value of divestitures at $175 million to $200 million.
"By adding Earth Tech to AECOM, we immediately strengthen our position in our core water and wastewater markets," said John M. Dionisio, AECOM president and CEO. "We also bolster our environmental, facilities, and transportation businesses, while further expanding AECOM’s global footprint, particularly in the Americas, U.K./Europe, and Australia/Asia.
"Externally, this merger strengthens our ability to win mega infrastructure assignments, environmentally smart projects, and outsourcing by federal agencies," Dionisio said. "Internally, Earth Tech’s addition to AECOM provides tremendous benefits to employees of both firms—opportunities for professional growth and development, and greater opportunities for people to work on important projects."
AECOM, which has more than 33,000 employees worldwide, also expects Newport Beach, Calif.-based Boyle Engineering to strengthen its water, wastewater, and environmental practices. Boyle has 600 employees with a strong presence in the Southeast and Western United States.
Tecsult’s hydropower expertise, AECOM said, will bolster its energy practice, as well as be an integral part of the firm’s international development group, assisting developing nations attain basic infrastructure needs such as water, energy, and transportation. Additionally, Tecsult will further strengthen AECOM’s global infrastructure practice, especially within the Canadian infrastructure market. Tecsult, based in Montreal, Quebec, Canada, has 1,100 employees.