Latest proposal from Canadian engineering giant values Dutch consultant at £3.8bn

Arcadis has confirmed that WSP has made a second bid for the business valuing it at €4.4bn (£3.8bn).

The firm, which is listed on the Dutch Stock Exchange, Euronext Amsterdam, said that it had turned down a €48.5 (£41.5) per share offer prompting WSP to table a second bid of €51.5 (£44) per share.

In a statement, Arcadis said the first “proposal was carefully reviewed and unanimously rejected by the Executive Board and Supervisory Board as it did not adequately reflect Arcadis’ intrinsic value, strategic position and future prospects.

80Fen_Arcadis_Reception

Source: Arcadis

Arcadis’s UK headquarters is at 80 Fenchurch Street in the City of London

“The proposal also did not address concerns around strategic fit, cultural fit, deal certainty and other stakeholders’ interests.”

But it said the second offer was being looked at and added: “The Executive Board and Supervisory Board, together with their financial and legal advisers, are carefully reviewing the revised proposal in accordance with their fiduciary responsibilities and in the interests of all shareholders and stakeholders.”

It added: “While no decision has been made regarding the revised proposal, the Boards continue to believe that Arcadis is well positioned to deliver significant value creation through the execution of its strategy.

“The Boards remain highly confident in the Company’s strategy, operational momentum and medium-term outlook. Arcadis’ recent performance and the actions underway to accelerate growth, improve margins and enhance cash generation provide a clear path to creating substantial shareholder value significantly in excess of that reflected in WSP’s proposal.”

Arcadis said it would give an update on its strategy, performance and outlook alongside its interim results next Thursday.

Founded in 1888, Arcadis has around 34,000 employees worldwide with just over 4,000 based in the UK with the firm’s head office at 80 Fenchurch Street. Last year it had revenue of €4.9bn (£4.2bn).

Arcadis bought EC Harris in 2011 and three years later bought Hyder for around £300m.

WSP is headquartered in Montreal, Canada, and listed on the Toronto Stock Exchange. It employs around 75,000 people and last year had a revenue of CA$18.3bn (£9.8bn). It has 10,000 employees in the UK and Ireland.

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