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Monday, June 23, 2014

Canada's SNC-Lavalin to purchase UK's Kentz for $2 billion, (TSE: SNC.TO)

Canadian engineering and construction company SNC-Lavalin Group Inc said on Monday that it would acquire British energy services provider Kentz Corp for about 1.164 billion pounds ($1.98 billion) in cash to expand its offerings in the oil and gas sector.Montreal-based SNC said the acquisition of Kentz would allow it to carry out larger and more complex oil and gas projects. The deal would also give SNC a much greater presence in key growth regions such as the Middle East, North America and Asia Pacific.SNC-Lavalin said each Kentz shareholders would receive 935 pence per share, a premium of 33 percent to the stock's Friday close on the London Stock Exchange. Kentz shares were trading at 928.5 pence at 1239 GMT on Monday.Since it went public in 2008, Kentz, a FTSE 250 company, has grown rapidly into a diversified construction company with mining, oil and gas, and infrastructure projects around the world.

SNC-Lavalin Group Inc. (SNC-Lavalin) is an international engineering and construction company. Shares of SNC fell by 1.0% or $-0.53/share to $52.40. In the past year, the shares have traded as low as $39.47 and as high as $55.44. On average, 406416 shares of SNC.TO exchange hands on a given day and today's volume is recorded at 1002185.