Jacobs Engineering Group to acquire McDermott unit

Jacobs Engineering Group Inc., Pasadena, Calif., signed a letter of intent to acquire McDermott Engineers & Constructors (Canada) Ltd. from parent company McDermott International Inc., New Orleans.

By the OGJ Online Staff

HOUSTON, Aug. 23 -- Jacobs Engineering Group Inc., Pasadena, Calif., signed a letter of intent to acquire McDermott Engineers & Constructors (Canada) Ltd. from parent company McDermott International Inc., New Orleans.

The acquisition of the onshore engineering and construction operations of McDermott International includes business units Delta Catalytic and Delta Hudson Engineering.

McDermott Engineers & Constructors and Delta Hudson provide engineering, construction, and maintenance services to various industries, including upstream oil and gas, petroleum refining, petrochemicals and chemicals. They are headquartered in Calgary and have operations in Canada, the UK, and the US.

Financial terms of the deal were not disclosed; the transaction should close this fall, said McDermott.

"The potential sale of these companies supports our focus on our core marine construction, power generation and government businesses. Additionally, their acquisition by Jacobs will provide them new opportunities as part of one of the world's leading professional technical services companies," said Bruce W. Wilkinson, chairman and CEO of McDermott.

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