WSP Global Inc. (WSP) has reached agreements to acquire the entire issued and to be issued share capital of Ricardo plc for 430 pence (Offer Price) per share. 

The acquisition represents an enterprise value of approximately GBP 363.1 million (US$ 670 million). WSP has reached an agreement with Ricardo’s board on the terms of a recommended all-cash offer, under which a wholly owned WSP subsidiary will acquire all of Ricardo’s issued and outstanding shares at the agreed offer price. Alongside the acquisition announcement, WSP has secured a fully committed “certain funds” term loan facility of GBP 230 million (US$ 425 million), referred to as the New Credit Facility. The balance of the acquisition’s cash consideration will be funded through WSP’s available cash reserves and existing credit lines. The Royal Bank of Canada is serving as the lead arranger and sole bookrunner for the New Credit Facility. RBC Capital Markets is advising WSP on the financial aspects of the acquisition, while Linklaters LLP is providing international legal counsel.