£38m offer for NNC Holdings is accepted as AMEC strengthens nuclear position in UK.
Amec is set to buy nuclear services business NNC Holdings for £38m.
Amec’s offer has been recommended by the Board of NNC and the acquisition is expected to be finalised next month.
NNC had a turnover of £86.6m for the year ended 31 March 2005. The company employs around 1,000 people and provides engineering and safety consultancy services throughout the life cycle of nuclear facilities in the UK, Canada and the former Soviet Union.
AMEC chief executive Peter Mason said: “NNC's reactor services division adds a new dimension to our portfolio and, with governments across the world seeking to re-invest in the nuclear industry, we are well placed to benefit from significant new international opportunities.”
“This strategic acquisition will strengthen AMEC's nuclear services business and position the company to secure a substantial slice of the annual £2 billion operations, maintenance and decommissioning spend soon to be available to the private sector in the UK.”
The cost of the acquisition will be £25.3m plus about £12.7m of net debt. The purchase will be funded from AMEC's existing banking facilities.