Bureau Veritas Agrees to Buy Maxxam to Expand in North America
Bureau Veritas SA (BVI), a French provider of consulting services, agreed to buy Maxxam Analytics International Corp. from Omers Private Equity for C$650 million ($611 million) to expand its activities in North America.
The transaction is due to be completed during the first quarter of 2014, Bureau Veritas said in a e-mailed statement. The price is 10.7 times Mississauga, Canada-based Maxxam’s forecast earnings before interest, taxes, depreciation and amortization, Bureau Veritas said.
“This acquisition is in line with the strategic objectives of the BV2015 plan, including a stronger presence in North America and diversification into adjacent services with strong growth potential,” Chief Executive Officer Didier Michaud-Daniel said in the statement.
The acquisition of Maxxam increases Neuilly-sur-Seine, France-based Bureau Veritas’ footprint in North America, after the acquisitions of AcmeLabs and OTI in Canada over the past two years. Maxxam’s services cover soil, water quality and waste analysis necessary for construction projects and oil infrastructure, Bureau Veritas said.
Maxxam employs more than 2,500 employees has generated C$ 245.9 million in revenue for the fiscal year ended in March. It forecasts sales of C$269 million for the fiscal year ending in March 2014, with Ebitda of C$61 million, Bureau Veritas.
Bureau Veritas forecast that its profit margin and attributable net income for 2014 will increase by about 3 percent on a full-year basis and before synergies, thanks to the purchase.
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