SUGAR LAND, Texas, and HOUSTON — Team Inc. and Furmanite Corp. today announced that the boards of directors of both companies have unanimously approved a definitive merger agreement under which Team will acquire all of the outstanding shares of Furmanite in a stock-for-stock transaction valued at approximately $335 million. Subject to the satisfaction of closing conditions and receipt of required approvals, the companies expect to complete the combination in the first calendar quarter of 2016.
The combined company will be a premier NDT inspection and specialty mechanical services company with a strong presence in North America, and will comprise more than 8,300 employees and 220 locations in 22 countries. The combination will approximately double the size of Team’s mechanical services capabilities and establish a deeper, broader talent and resource pool that better supports customers across standard and specialty mechanical services. In addition, the capability and capacity of the combined entity will offer an enhanced single-point of accountability and flexibility in addressing some of the most critical needs of clients; whether as individual services or as part of an integrated specialty industrial services solution.
In connection with the merger, Furmanite announced that Joseph E. Milliron is retiring from his position as president and CEO of Furmanite, effective immediately. Milliron will continue as a member of the Furmanite board of directors. Jeffery G. Davis, Furmanite’s interim executive chairman of the board, will assume additional responsibilities as interim president and CEO of Furmanite.
