Firm looking to broaden its range of services and grow in the Brazilian market by buying facilities management firm for 拢22m
Engineer Babcock has bought a Brazilian facilities management firm for 拢22m.
Babcock said the acquisition was part of a move to broaden its operations in the Brazilian market, where it expects to see growth.
In a statement to the City it said the acquisition of the Brazilian facilities management firm Conbras would provide a 鈥渃redible operating presence鈥� in the market to pursue this strategy.
The firm provides industrial and building management and engineering services to public and private sector clients in Brazil.
Conbras reported revenue of R$132m (拢38m) in the year to 31 December 2012 and an operating profit of R$9.6m (拢2.7m).
Babcock said it expected the firm to grown in 2013 after Conbras won a number of contracts in the second half of 2012 and the first half of 2013.
Up to R$15m (拢4.3m) of the total R$75m (拢22m) price for the firm will be paid as a deferred payment that is dependant on the company鈥檚 results.
Peter Rogers, chief executive of Babcock, said: 鈥淭he acquisition of Conbras will provide us with a secure and stable platform to enter the Brazilian market.
鈥満蒙壬鶷V on our existing skills, capabilities and reputation, we have already identified areas where we believe we can create long-term opportunities for Babcock in both the public and private sectors.鈥�
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