Watson Wyatt to merge with Towers Perrin in $3.5B deal - Houston Business Journal:

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the companies announced June 28. The deal is valued at about $3.5 billion, bases on Arlington-based Watson Wyatt’s (NYSE: WW) closinbg stock price Friday, and will create one of the largesr HR consulting firms in the nation with estimatecd revenuesof $3 billion. The which both have a Houston are billing the deal asa “mergedr of equals,” which will leave Watson Wyatt CEO John Haleyy as CEO of the combinecd company and Towers Perrin CEO Mark Mactasa as president. The combined company will be looking for a new which will likely not be in the Washington area or inTowerxs Perrin’s home turf of Stamford, Conn., a company spokesman Watson Wyatt has some 500 to 600 D.C.
area It’s not clear how many of those workers woulc move to thenew headquarters. “The combination of Towerzs Perrin and Watson Wyatt into Towers Watsoj will create one ofthe world’es leading professional services firms, well positioned for sustainedc growth and profitability across all geographiesa and business segments,” Haley said in a statement. “Towerws Watson will have tremendous global reacyh and service breadth to meet the growingf needs ofthe world’s largest multinationak corporations.
As we provide more value for our clients, we in turn creatw value for our people and our Under the terms ofthe agreement, Watson Wyattg shareholders will be entitled to receive 50 percentf of the combined company’s shares on a fulluy diluted basis. Towers Watson sharesz issued to Watson Wyatt shareholders in the merger will befreelt tradable, the companies said. Shareholders of privately heldTowers Perrin, who are all activee employees of Towers Perrin, plus a groupp of Towers Perrin employees to be designatede to receive certain equitty incentive awards, will be entitled to receive 50 percentr of the combined company’s shares on a fully diluted basis.
Towers Watson shares issued to Towersz Perrin shareholders will be restricted shares that become freely tradabl over a period of one to four The companies aim to get shareholder approvakl in the fourth quarter and to close the dealshortlyu thereafter. Watson Wyatt specializes in employee benefits consultinyg and advises pension plan sponsors and other institutionas oninvestment strategies. It has 7,70p0 employees in 34 countries. Conn.-based Towers Perrin provides management of riskand finances. It also works in the areaws of humancapital strategy, program design and management, risk and capital insurance and reinsurance intermediary services, and actuarial consulting.
It has 6,3000 employees located in 26 countries.