The head of Canadian engineering firm WSP Global says it isn’t done yet with sizable acquisitions after offering $3.3 billion to buy TRC from Warburg https://t.co/mmA2qndKR3 ...

Acquisition Announcement - The company has reached an agreement to acquire TRC, with the transaction expected to close in Q1 2026 [1] - An equity offering has been announced in connection with the acquisition [1] Management Participation - The webcast features participation from the company's President and CEO, Alexandre L'Heureux, and CFO, Alain Michaud [1] Forward-Looking Statements - The company will make forward-looking statements during the webcast, with actual results potentially differing from those expressed or implied [2] - There is no obligation to update or revise these forward-looking statements [2] Financial Reporting - The company refers to non-IFRS measures in its financial reporting, which are defined in the MD&A for the quarter ending September 27, 2025 [3] - Management believes that these non-IFRS measures provide useful information regarding the corporation's financial conditions and results of operations [3]

Summary of WSP Global's M&A Announcement Company and Industry - **Company**: WSP Global (OTCPK:WSPO.F) - **Industry**: Power and Energy Sector, Engineering and Design Services Core Points and Arguments - **Acquisition Announcement**: WSP Global has reached an agreement to acquire TRC, expected to close in Q1 2026, alongside a concurrent equity offering [1][20] - **Strategic Importance**: The acquisition is part of WSP's 2025-2027 Global Strategic Action Plan, aimed at solidifying its leadership in the U.S. power and energy market and becoming the largest and most diversified engineering and design firm in the U.S. [4][20] - **Historical Performance**: WSP has achieved a total revenue growth CAGR of approximately 13% over the last 10 years, with a 19% increase in 2025, demonstrating strong organic growth and profitability [5][6] - **M&A Strategy**: WSP has deployed over $5 billion in acquisitions from 2022 to 2024, with the TRC acquisition representing a significant commitment in 2025 [6][17] - **TRC's Market Position**: TRC is recognized for its technical excellence in the U.S. power and energy sector, with approximately 8,000 professionals and a strong client base built on long-term relationships [9][10] - **Growth Metrics**: TRC has delivered a 10-year revenue CAGR of 10% and a 4-year CAGR of 12% in the power and energy segment, indicating robust organic growth [11] Additional Important Content - **Financial Aspects of the Acquisition**: The acquisition is based on a cash offer of $3.3 billion, representing approximately 14.5 times TRC's estimated EBITDA for 2026. It is expected to be immediately accretive to WSP's adjusted net earnings per share [18][19] - **Synergies and Growth Potential**: WSP anticipates cost synergies exceeding 3% of net revenues within 24 months post-acquisition, with potential for high single-digit accretion to adjusted net earnings per share [18][19] - **Broader Capabilities**: The acquisition will enhance WSP's capabilities in water, infrastructure, and environmental services, positioning the company to capture a significant share of the $27 billion environmental consulting market in the U.S. [14][15] - **Workforce Expansion**: Post-acquisition, WSP's power and energy workforce will total approximately 12,000 professionals, with combined net revenues of $2.5 billion from the U.S. power and energy sector [13] - **Market Leadership**: The transaction is expected to reinforce WSP's leadership in the power and energy sector, with a significant portion of net revenues coming from this area, reflecting a strong growth trajectory [17][21] This summary encapsulates the key points from WSP Global's M&A announcement regarding the acquisition of TRC, highlighting the strategic rationale, financial implications, and expected market impact.