Mitie acquire engineering services firm JCA in a deal worth £31.5m
Mitie acquire engineering services firm JCA in a deal worth £31.5m
- London-based group will pay initial fee of £21m
- The deal includes the deferred payments of up to £10.5m over three years
Mitie Group have acquired engineering services and construction firm, JCA Engineering, in a deal worth up to £31.5million.
The London-based group revealed the deal will be comprised of an initial payment of £21million and deferred payments of up to £10.5million over three years, linked to performance.
JCA delivered revenues of £71.8million for the 12 months that ended on 31 December 2022 – growth of 17 per cent annually.
Upbeat: Mitie announced the acquisition of JCA Engineering in a deal worth up to £31.5m
‘JCA has 20 years of experience in delivering complex engineering projects across the UK, specialising in consulting, design, build and maintenance, with a particular focus on critical environments such as data centres, life sciences and healthcare sectors’, Mitie said in a statement:
Mitie shares rose up by 0.82 per cent to 98.50p in morning trading on Monday.
Phil Bentley, group chief executive of Mitie, said: ‘We are delighted to welcome the JCA Engineering team to Mitie.
‘The acquisition of JCA Engineering follows the Group’s strategy to invest in high growth, high margin companies, enhancing our projects capabilities in the growth areas of energy efficiency, office fitouts and critical environments.’
In June, Mitie unveiled record full-year revenues after it was boosted by contract wins, renewals acquisitions and inflationary contract re-pricing.
Revenues hit a record £4.05billion in the 12 months to 31 March, up from £4billion a year earlier, while operating profit grew to £117million, from £72million.
Ian Hodges-Jackson, founder and chairman of JCA Engineering said: ‘I am proud of my team and the capabilities we have built at JCA Engineering over the past 20 years, alongside our reputation for delivering as principal contractor in critical environments.
‘Given Mitie’s access to a wide range of clients and its ability to finance faster growth, I’m very excited about the next phase of JCA Engineering’s development.’