Colorado-based CH2M HILL has confirmed it will no longer proceed with its acquisition of engineering consultancy Scott Wilson.
Scott Wilson, which has offices in Liverpool, Manchester, Whitehaven, Crewe, and Warrington, received an increased offer from URS Corp, another American firm bidding to takeover the company, on Wednesday.
URS Corp offered 290p/share which valued Scott Wilson at approximately £223m. CH2M HILL had proposed an offer 245p/share on Tuesday, valuing the company at £189m, which was an increase of £28m compared to the original offer from URS Corp of 210p/share on Monday.
In an announcement on the London Stock Exchange, Lee McIntire, chairman and chief executive officer of CH2M HILL, said: "CH2M HILL's long-term strategy is focused on organic growth, based upon delivery and strong customer service, and selective acquisitions to enhance our geographic and market sector presence. While Scott Wilson is an excellent company and an attractive cultural fit with CH2M HILL, it is not felt to be value enhancing to us at the current valuation.
"We understand the importance of certainty to all those impacted by the offer process, in particular the employees and customers of Scott Wilson, and have decided to make clear today that we will no longer proceed with the acquisition of the company. We sincerely wish the management and staff all the best in the future. We will follow the Scott Wilson Board's recommendation in terms of our shareholding."
Scott Wilson told Place it will be issuing a statement with regards to the announcement shortly.