PA has announced that Jacobs, the global technical and professional services leader, has signed an agreement to invest in PA for a 65% shareholding in the company. The transaction, which values PA at £1.825 billion and is expected to close by the end of calendar Q1 2021 subject to regulatory approvals and shareholder consent, sees current shareholder The Carlyle Group exit its stake in PA.
The strategic partnership has generated extensive global media coverage, and the news has been covered by over 280 outlets spanning international news sites, regional and select trade media, as well as tier one nationals including: Yahoo! Finance, Wall Street Journal, Financial Times, The Times, Reuters, The Telegraph and Consulting.UK.
The new strategic partnership with Jacobs will enable PA to build on this success and to accelerate its growth plan through geographic expansion, particularly in the US, and additional acquisitions. The partnership will see PA further enhance its market-leading capabilities in innovation, design, digital and technology. The private equity style investment from Jacobs will allow PA to retain its independence, alongside current culture, brand and values. The continued share ownership by PA employees is a key feature of the transaction.
John Alexander, Chair of PA, 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.’’
Ken Toombs, CEO of PA Consulting, 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.’’