œ200m price tag expected for Atkins

WS Atkins' pathfinder prospectus was issued last week prior to its proposed floatation on July 25. City analysts expect the consultant to eventually come to the market with a œ200 million price tag.

No new shares are being issued and no new money is being raised as œ50 million-worth of shares currently held by family shareholders and the group's pension fund have all been placed with institutional shareholders.

The 125-page document says: "The flotation will provide a more liquid market for Atkins' shares which the directors believe will enhance the motivation of staff shareholders who have played and important part in the group's development since the 1986 restructuring."

The directors also believe that floatation on the Stock Exchange will enhance the profile of the group.

Atkins was founded in 1938 by Sir William Atkins, offering consultancy services in civil and structural engineering design. In 1986, 25% of the share capital was acquired by an employee benefit trust in order to retain and motivate staff.

Today, the group has seven operating groups reporting through three segments: infrastructure services (turnover œ138 million), property services and regions (œ94 million) and Faithful & Gould (œ4 million).

Atkins lists its main competitors as Mott MacDonald, Ove Arup and Halcrow. In facilities management and outsourcing markets, it sees BPFM, Mowlem and Serco as its main competitors.