After Virginia-based Amentum merges with the Jacobs government contracting and cyber businesses this year, the company plans to trade on the New York Stock Exchange under the symbol “AMTM,”, according to a financial filing last week.
Dallas-based Jacobs will still trade under the symbol “J,” according to a joint Securities and Exchange Commission filing by the two companies July 15. In addition, Amentum and Jacobs have laid out the names and ages of the board of directors for the blended company.
Those are some of the highlights in the major SEC filing on merger. The merger should close by the end of September, and Jacobs said during its quarterly earnings report in May that some needed government approvals are in hand already.
Following closure of the deal, the new company plans to have 12 directors. Amentum CEO John Heller, age 61, is expected to be CEO of the new company and will be on the board. Jacobs CEO Steven Demetriou, 65, will be executive chair.
The other board nominees are:
- Retired U.S. Army General Vincent Brooks, age 65.
- Benjamin Dickson, 43, managing director of American Securities.
- Retired U.S. Air Force General Ralph (Ed) Eberhart, 76.
- Alan Goldberg, co-founder of Lindsay Goldberg, 69.
- Leslie Ireland, former daily intelligence briefer for President Barack Obama, 64.
- Barbara Loughran, former PricewaterhouseCoopers partner, 60.
- Sandra Rowland, former senior vice president and chief financial officer for water technology company Xylem, 53.
- Russell Triedman, manager of Lindsay Goldberg, 54.
- John Vollmer, former Amentum CEO, 65.
- Connor Wentzell, a principal of American Securities, 34.
Within two years, the combined company should reap gross cost savings in the range of $125 million to $175 million, though some of those savings would pass directly to the government through lower bills on cost-reimbursable contracts, leaving the company with net cost savings post-merger of $50 million to $70 million, according to the SEC filing.
The “synergies” will be available in areas such as technology infrastructure, a more efficient management structure and greater purchasing power, according to the filing. But nothing is guaranteed when it comes to contract awards, the filing, notes.
“When an expected contract award is delayed or not received, we incur additional costs resulting from reductions in staff or redundancy of facilities, which could have a material adverse effect on our business, financial condition and results of operations.
The companies said in the filing the new combined company will allow them to better compete with domestic and international rivals such as Bechtel , Boeing, BWX Technologies, Fluor, General Dynamics, Honeywell, Huntington Ingalls, Lockheed Martin, Northrop Grumman, Parsons, RTX (formerly Raytheon Technologies) and Westinghouse Electric.
Meanwhile, Amentum planned a presentation Aug. 13 at the New York Stock Exchange in New York City to discuss issues including the merger announced in November with the government contracting and cyber businesses of Jacobs.
Amentum CEO Heller and other top executives will take part in what Amentum dubs a capital markets day on its outlook and strategy. Both Amentum and Jacobs are already among the largest contractors for DOE’s Office of Environmental Management and the semiautonomous National Nuclear Security Administration.
The Wall St. session was scheduled for 10:00 a.m. Eastern Time and a webcast will be made available through Amentum’s website, the company said in a Monday press release.
