Tue, Nov 26 19:49 PM EST
(Reuters) - British engineer Amec (AMEC.L) is eyeing a takeover of U.S.-listed engineering company Foster Wheeler AG (FWLT.O) in a potential deal that could create a 5 billion pound ($8 billion) energy services group, The Times reported on Wednesday, citing sources.
The Times said Amec, which provides services and equipment for the oil and gas, mining, nuclear and renewable energy sectors, has appointed Goldman Sachs (GS.N) to advise it on a potential deal.
A spokesman for Amec declined to comment.
Foster Wheeler could not immediately be reached outside regular business hours.
Switzerland-based Foster Wheeler, valued at $2.83 billion, operates through its engineering and construction business and its power business.
The Times cited sources who said that Amec and Foster Wheeler may have held talks in the past but were not engaged in discussions currently.
Amec, a FTSE 100 company, said in August it was looking to make acquisitions in the oil and gas sector.
($1 = 0.6180 British pounds)
(Reporting by Aashika Jain in Bangalore; Editing by Steve Orlofsky)
Showing posts with label AMEC. Show all posts
Showing posts with label AMEC. Show all posts
Wednesday, November 27, 2013
Monday, June 17, 2013
Farm In Not Take Over
Wed 08:56 Re: XEL.L 28
Agreed Podcast this is a good choice by XEL. If the outcome is a farm in, it will provide a degree of confidence that the necessary project support for XEL is in place. If a take over emerges (less likely IMO) there should be no need for the buyer to have to change track if a competent team from AMEC is doing the business.
Aberdeen, United Kingdom (4 April 2011) - AMEC, the international engineering and project management company, has been selected by BP Exploration and Production to programme manage their existing portfolio of onshore and offshore projects in the North Sea, estimated to be worth £60 million over the four year contract.
As part of the BP-AMEC onshore global agreement announced last year, this ‘evergreen’ award will see AMEC providing engineering and project management services to BP’s North Sea Region. The projects are located to the west of Shetland, Northern North Sea, Southern North Sea and the Norwegian sector of the North Sea.
Under this long-term, performance-based contract, AMEC’s work will range from front-end engineering design (FEED) through to construction management for multiple EPC (engineering, procure, construct) projects.
“I am extremely pleased that we are continuing to strengthen our already good relationship with BP,” said John Pearson, Managing Director of AMEC’s Europe & West Africa business. “This major award in the North Sea demonstrates BP’s ongoing confidence in our project delivery and programme management capabilities.”
It has been a good couple of days for AMEC!
London, United Kingdom (11 June 2013) - AMEC, the international engineering and project management company, has been awarded a framework contract by BP to provide environmental and related consulting services for all of BP’s assets in their upstream, refining and marketing, alternative energy and shipping businesses worldwide.
AMEC has an existing environmental services framework contract with BP in North America and this latest award effectively forms a global Master Services Agreement for environmental services between the two companies.
The value of the contract, which will run until to 2017, has not been announced.
Under the agreement, AMEC will be called upon as required to provide a wide range of services including emergency response and continuity planning, remediation engineering, decommissioning, waste management and environmental services.
AMEC already has global agreements with BP for Engineering and Project Management services for both offshore and onshore oil and gas projects.
Regards
Gramacho
Tuesday, February 21, 2012
UPDATE 2-AMEC still hunting for deals after buyback
Tue, Feb 21 05:06 AM EST
* Says ample capacity for M&A, confident on securing debt
* FY earnings up 12 pct to 299 mln stg vs forecast 297 mln
* 400 mln stg share buyback to be completed in 12 months
* Ups dividend by 15 pct to 30.5 pence per share
By Sarah Young
LONDON, Feb 21 (Reuters) - British engineer AMEC is still looking for a big acquisition, even after announcing a 400 million pound ($635 million) share buyback programme and hiking its 2011 dividend by 15 percent, it said on Tuesday.
AMEC, which serves customers such as ConocoPhillips, GDF Suez and Centrica across the mining, oil and gas, nuclear power and renewable energy industries, said it was looking for deals in all of its sectors, as well as in Asia, Latin America and the Middle East.
Investors have been waiting for news on a cash return after AMEC said last March it would consider a buyback or one-off cash return should a major acquisition not materialise within 12 months, something which has not happened.
"Even after returning 400 million pounds, we will still have cash on the balance sheet. We don't feel constrained in any way. We've got the ability to take debt on board to finance acquisitions," McHoul said.
AMEC does not have any debt and McHoul was confident of being able to borrow "significant sums" from a large number of banks. He said he was already in touch with lenders.
AMEC, which said the buyback would take place over a 12 month period, also said it planned to lift its full year dividend to 30.5 pence per share from the 26.5 pence in 2010.
PROFITS JUMP
AMEC posted full-year earnings before interest, tax and amortisation (EBITA) of 299 million pounds, 12 percent higher than in 2010, and slightly higher than an average forecast of 297 million in a company supplied poll of 16 analysts.
A strong performance in the North Sea, a contract win on the decommissioning of the Sellafield nuclear plant in northern England, plus a 21 percent jump in earnings in the part of AMEC's business which provides consulting and engineering for environmental and water projects, helped boost profits.
The company said it was targeting earnings per share of more than 100 pence by 2015, topping the 100 pence goal it announced in 2009.
"The outlook for 2012 is underpinned by the positive industry backdrop and the strength of the order book," Chief Executive Samir Brikho said.
AMEC said profit margins would fall due to a shift in its business mix away from Canada's oil sands and towards the North Sea, and after it increasingly provided strategic customers such as BP with procurement services.
"Any disappointment here should be tempered by two factors. First, management focus has shifted away from margins and towards revenue growth in the recent period. Second, the company's EBITA margin in 2011 was 9.2 per cent, marginally above our expectations," Shore Capital analysts said.
At 1000 GMT, shares in AMEC, which have gained 23 percent in the last three months, were steady at 1,109 pence, valuing the company at about 3.7 billion pounds.
=============
AMEC (LON:AMEC) (HOLD) (AMEC LN, 1108, ▲ 1.1%): AMEC’s 2011 results were solid. Underlying revenue increased by 3%, driven by a strong performance within the oil and gas and minerals and metals markets, offset by a decline in oil sands and US federal activities. Reported EBITA increased 12% to £299M (2010- £269M) with margins broadly in line at 9.2%. Underlying EBITA increased by 6 per cent. Adjusted profit before tax was £311M, ahead of the previous year (2010: £280M) driven by volume growth and acquisitions. The final dividend of 20.3p, which together with the interim dividend of 10.2p results in a total dividend of 30.5 pence per share (2010: 26.5 pence), represents a 15% increase. The Group has decided to commence a share buyback programme of £400M, which is expected to be completed over the next 12 months.
The outlook statement was positive with the company stating: “AMEC is on track to deliver double-digit underlying revenue growth in 2012, despite the continued macro-economic uncertainty. The strength of the order intake during 2011, the continued demand for AMEC's services and the on-going customer investment in AMEC's core markets are driving growth expectations. However, overall margins are expected to reduce somewhat, impacted by a shift in business mix and an increase in procurement activities for strategic customers. Management remains focused on the Vision 2015 strategy and now expects to achieve earnings per share of greater than 100p ahead of 2015.”
* Says ample capacity for M&A, confident on securing debt
* FY earnings up 12 pct to 299 mln stg vs forecast 297 mln
* 400 mln stg share buyback to be completed in 12 months
* Ups dividend by 15 pct to 30.5 pence per share
By Sarah Young
LONDON, Feb 21 (Reuters) - British engineer AMEC is still looking for a big acquisition, even after announcing a 400 million pound ($635 million) share buyback programme and hiking its 2011 dividend by 15 percent, it said on Tuesday.
"The key thing about the buyback is it leaves us with ample capacity to continue to pursue, quite aggressively, acquisitions and there's plenty of opportunity out there," Chief Financial Officer Ian McHoul said on a call with reporters.
AMEC, which serves customers such as ConocoPhillips, GDF Suez and Centrica across the mining, oil and gas, nuclear power and renewable energy industries, said it was looking for deals in all of its sectors, as well as in Asia, Latin America and the Middle East.
Investors have been waiting for news on a cash return after AMEC said last March it would consider a buyback or one-off cash return should a major acquisition not materialise within 12 months, something which has not happened.
"Even after returning 400 million pounds, we will still have cash on the balance sheet. We don't feel constrained in any way. We've got the ability to take debt on board to finance acquisitions," McHoul said.
AMEC does not have any debt and McHoul was confident of being able to borrow "significant sums" from a large number of banks. He said he was already in touch with lenders.
AMEC, which said the buyback would take place over a 12 month period, also said it planned to lift its full year dividend to 30.5 pence per share from the 26.5 pence in 2010.
PROFITS JUMP
AMEC posted full-year earnings before interest, tax and amortisation (EBITA) of 299 million pounds, 12 percent higher than in 2010, and slightly higher than an average forecast of 297 million in a company supplied poll of 16 analysts.
A strong performance in the North Sea, a contract win on the decommissioning of the Sellafield nuclear plant in northern England, plus a 21 percent jump in earnings in the part of AMEC's business which provides consulting and engineering for environmental and water projects, helped boost profits.
The company said it was targeting earnings per share of more than 100 pence by 2015, topping the 100 pence goal it announced in 2009.
"The outlook for 2012 is underpinned by the positive industry backdrop and the strength of the order book," Chief Executive Samir Brikho said.
AMEC said profit margins would fall due to a shift in its business mix away from Canada's oil sands and towards the North Sea, and after it increasingly provided strategic customers such as BP with procurement services.
"Any disappointment here should be tempered by two factors. First, management focus has shifted away from margins and towards revenue growth in the recent period. Second, the company's EBITA margin in 2011 was 9.2 per cent, marginally above our expectations," Shore Capital analysts said.
At 1000 GMT, shares in AMEC, which have gained 23 percent in the last three months, were steady at 1,109 pence, valuing the company at about 3.7 billion pounds.
=============
AMEC (LON:AMEC) (HOLD) (AMEC LN, 1108, ▲ 1.1%): AMEC’s 2011 results were solid. Underlying revenue increased by 3%, driven by a strong performance within the oil and gas and minerals and metals markets, offset by a decline in oil sands and US federal activities. Reported EBITA increased 12% to £299M (2010- £269M) with margins broadly in line at 9.2%. Underlying EBITA increased by 6 per cent. Adjusted profit before tax was £311M, ahead of the previous year (2010: £280M) driven by volume growth and acquisitions. The final dividend of 20.3p, which together with the interim dividend of 10.2p results in a total dividend of 30.5 pence per share (2010: 26.5 pence), represents a 15% increase. The Group has decided to commence a share buyback programme of £400M, which is expected to be completed over the next 12 months.
The outlook statement was positive with the company stating: “AMEC is on track to deliver double-digit underlying revenue growth in 2012, despite the continued macro-economic uncertainty. The strength of the order intake during 2011, the continued demand for AMEC's services and the on-going customer investment in AMEC's core markets are driving growth expectations. However, overall margins are expected to reduce somewhat, impacted by a shift in business mix and an increase in procurement activities for strategic customers. Management remains focused on the Vision 2015 strategy and now expects to achieve earnings per share of greater than 100p ahead of 2015.”
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