AECOM Buys URS Corp. for $4B

LOS ANGELES—AECOM Technology Corp. has entered into an agreement to purchase the outstanding shares of URS Corp. for $56.31 per share, a price that amounts to $4 billion. AECOM will purchase the company with a combination of cash and stock as well as the assumption of URS’s debt for a total transactional value of $6 billion.

The purchase price is based on the closing stock price on July 11, 2014 with a premium of 19% over the trailing 30-day average. According to AECOM president and CEO Michael S. Burke, the merger will produce an industry-leading firm with a greater global reach that will benefit stockholders and employees. Together, the company will have 95,000 employees in more than 150 countries and a pro-forma 2013 revenue of $19 billion. The combined company will be headquartered in Los Angeles, where AECOM is headquartered currently, but will maintain a strong presence in San Francisco, where URS is currently headquartered.