German engineering company Dürr AG has announced plans to acquire the MEGTEC and Universal businesses from Babcock & Wilcox (B&W). Under the agreement, Dürr will acquire the three B&W subsidiaries, Babcock & Wilcox MEGTEC LLC, Babcock & Wilcox MEGTEC Holdings Inc., and Babcock & Wilcox Universal Inc. for 110 million euros ($130 million).
The MEGTEC and Universal businesses will be combined with Dürr’s current exhaust-air purification technology business to form a new environmental technologies group with annual sales of around 400 million euros and 1500 employees.
The acquisition is expected to be completed in the third quarter, subject to the usual antitrust conditions and regulatory approvals.
The news comes shortly after B&W received a non-binding indication of interest from existing shareholder, Steel Partners, to fully acquire B&W, including MEGTEC and Universal Inc. It is unclear how Dürr’s acquisition of those businesses will impact Steel Partners bid.