News: Downer EDI buys Tenix Holdings for $300M

.

Downer EDI Limited (ASX:DOW) has inked a deal to buy Tenix Holdings Australia for $300 million. 

 

The engineering company says Tenix represents an opportunity which is strategic and will grow Downer’s capability at the right price. 

 

Downer describes Tenix as a leader in the electricity, gas and water sectors in Australia and New Zealand. 

 

Downer says there is little overlap between the two companies and Downer plans for Tenix to become the foundation for a new core utilities business. 

 

The deal is expected to be completed by October 31 and be earnings per share accretive in the first year. 

 

Downer EDI reported a net profit of $216 million in the 2014 financial year.