Furmanite Corporation (NYSE: FRM), reported today that it has entered into an agreement to acquire certain professional service assets of ENGlobal Corporation (NASDAQ: ENG). Included in the assets to be acquired are offices in Beaumont, Texas; Deer Park, Texas; Freeport, Texas; Baton Rouge, Louisiana and Lake Charles, Louisiana, which provide specialty technical services relating to the development, management and execution of projects, as well as ENGlobal’s related In-Plant operations throughout the Gulf Coast region which are supported by those offices. These combined ENGlobal operations provide project planning, professional engineering, downstream non-destructive testing and inspection, construction management, mechanical integrity, field support, quality assurance and plant asset management services. Current ENGlobal customers include refining/petrochemical operators as well as maintenance and Engineering and Construction contractors serving the downstream and midstream oil and gas markets.
The transaction has been approved by the boards of directors for both companies, and is expected to close within 60 days after the execution date for the agreement. The current employees within these operations of ENGlobal, totaling approximately 900 full-time professionals, will transition to Furmanite Technical Solutions (“FTS”), a newly formed business unit of Furmanite America, Inc., in connection with the transaction.
“FTS will operate as a synergistic “sister” unit to Furmanite’s existing specialty industrial service operations, under the continuing leadership of the current team,” said Charles R. Cox, Chairman and CEO of Furmanite. “We are extremely pleased to welcome this entire talented team who bring significant additional technical capabilities to Furmanite. They will enable us to vastly expand the range of integrated services we can offer our customers, initially to the Gulf Coast region, and ultimately throughout Furmanite’s extensive global coverage.”
Robert C. “Bob” Smith, Senior Vice President of ENGlobal’s Gulf Coast project operations, said, “This new relationship creates opportunities for growth and positive future outcomes. As discussions with Furmanite progressed, we were all struck by how unique and synergistic this combination of complimentary talents will potentially be for all stakeholders. We are extremely excited about the many possibilities to serve our customers better and with greater resources than ever before!”
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV