Facilities management company Mitie Group has acquired a leading engineering firm for £31.5 million cash.
The acquisition of Stevenage-based JCA Engineering comprises an initial payment of £21 million and deferred payments of up to £10.5 million over three years, linked to performance.
JCA, a leading critical environment project designer and principal contractor, has been delivering complex engineering projects across the UK for two decades.
It specialises in consulting, design, build and maintenance, and has a particular focus on critical environments such as data centres, life sciences and healthcare sectors.
JCA’s strengths are in mechanical and electrical works, asset upgrades and replacements, and office fitouts.
Its end-to-end approach to project delivery, combined with longstanding relationships across the public and private sectors, will enhance Mitie’s growing projects capabilities as a principal contractor to its clients, said Mitie.
For the year ended 31 December 2022, JCA delivered revenue of £71.8 million (17% YoY growth) and EBITDA of £5.1 million (4% YoY growth).
In 2022, Mitie saw revenue of more than £3.9 billion.
The acquisition will be funded from Mitie’s existing facilities.
“We are delighted to welcome the JCA Engineering team to Mitie,” said Phil Bentley, Group chief executive, 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.”
Enjoyed this? Try Family-owned firm started in 1860 still going strong
Get industry news in 5 minutes!
A daily email that makes industry news enjoyable. It’s completely free.