Intertek Group PLC (LON:ITRK) has announced plans to acquire SAI Global Assurance for A$855mln (£470mln).
SAI Global Assurance is part of the wider SAI Global Group owned by the private equity firm Baring Private Equity Asia.
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The total quality assurance provider said the acquisition will strengthen its market position in Australia, the US, Canada, the UK and China, and an expanded service capability in attractive end-markets.
SAI provides assurance services, including management systems certification and second party audits to more than 60,000 customers in around 130 countries.
It is the market leader in assurance in Australia and has scale positions in the US, Canada and the UK and a fast-growing business in China, Intertek noted.
SAI Global Assurance is expected to record revenues of A$240mln and an adjusted underlying (EBITDA) margin of 23% in the financial year ending 30 June 2021.
The transaction, carried out on a cash-free and debt-free basis, is expected to be completed in the third quarter.
Shares added 1% to 5,862p on Thursday morning.
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