URS to acquire Flint Energy Services for $1.25B

SAN FRANCISCO (AP) — Construction giant URS Corp. is acquiring the Canadian oil and gas contractor Flint Energy Services Ltd. for $1.25 billion in cash.

URS, based in San Francisco, said today the deal will significantly expand its presence in the oil and gas industry. It will add to URS' earnings this year and boost oil and gas revenue to 22 percent of URS' total annual revenue.

URS will assume about $225 million in Flint debt.

The deal is subject to the approval of Flint stakeholders and regulators, and other customary closing conditions. It values Flint at $25 per share.

URS is a global engineering, construction and technical service contractor for governments and companies. It is valued at $3.42 billion.

Flint Energy Services serves energy producers in Alberta's oil sands.