A day after announcing the purchase of a Newport Beach firm, Aecom Technology Corp. said Tuesday that it has agreed to acquire a unit of Tyco International Ltd. for $510 million.
The Los Angeles-based engineering and consulting firm said it purchased Earth Tech Inc. in an effort to boost revenue from global water-treatment projects. Aecom agreed to acquire water systems engineering firm Boyle Engineering for an undisclosed sum Monday.
The transaction is expected to close in the quarter ending June 30 and Aecom added that the transaction should reflect "slightly" in 2008 earnings but will contribute to revenue substantially in 2009.
Earth Tech, which was founded in 1970 and is based in Long Beach, was headed by a Diane Creel during the '90s, she was the first woman to run a publicly held engineering firm in the U.S. Read the Los Angeles Business Journal's feature on her here. The firm was bought up by Tyco in 1996.
Earth Tech, which had served as Bermuda-based Tyco's infrastructure division, had sales of $1.3 billion in 2007 and employs about 7,000.
Aecom added that it plans to sell as much as $200 million worth in assets from Earth Tech in operations outside the consulting and engineering business.
Shares in Aecom rose 2.2 percent to $26.47 in early trading Tuesday.
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