Jacobs to acquire majority stake in PA Consulting

Two key providers of professional services to the water sector will join forces, with Jacobs set to acquire a 65% stake in PA Consulting.

The companies announced a “strategic partnership” last week, targeting revenue synergies in key sectors as well as growth, particularly through innovation, technical, digital and consulting solutions.

The investment places an enterprise value of PA at £1.8bn. The remaining 35% stake will be held by PA employees, following the exit of existing majority stakeholder, The Carlyle Group.

Chair of PA, John Alexander, said: “We have undertaken a thorough process to screen and select potential new external investors that align with PA’s culture, independence and ambition. Jacobs stood out during the selection process because of the close affinity between our respective values and their reputation as one of the leading global providers of technical and professional services to clients across the public and private sectors. We were hugely impressed with Jacobs’ commitment to a PE style investment to support our values and purpose and accelerate our growth trajectory.’’

Chief executive officer of PA Consulting, Ken Toombs, said: ‘’We would like to thank Carlyle for the excellent partnership over five years. Together we have significantly grown the business and we are proud of what we have accomplished. We see Jacobs as the ideal partner for PA because of their market leading reputation, the alignment with our respective ambition and the opportunities to better serve clients through access to Jacobs’ global platform and client base, positioning us for the next phase of growth. Their purpose of creating a more connected, sustainable world and commitment to an inclusive future for all aligns with our own purpose – Bringing Ingenuity to Life – and our commitment to innovate towards a positive human future. We look forward to continuing to deliver ingenious solutions for our clients, supported by Jacobs’ investment and complementary capability.’’