AtkinsRéalis seals $300m deal for David Evans Enterprises to power massive Western U.S. expansion

AtkinsRéalis Group Inc. has completed its acquisition of a 70% stake in David Evans Enterprises, Inc., the parent company of the Portland-headquartered engineering and staff augmentation firm David Evans and Associates. The C$408 million (US$300 million) deal not only marks a major step in AtkinsRéalis’ “land and expand” growth strategy for the United States but also establishes a powerful new platform for delivering large-scale infrastructure, transportation, and power projects across the Western U.S.

Announced in February 2025 and finalized in April, the transaction strategically positions AtkinsRéalis to deepen its engagement with local, state, and federal government clients while expanding into high-growth and underserved markets across the Pacific Northwest, California, and the Mountain West. The acquisition brings together two companies with complementary capabilities and a shared commitment to client service, sustainability, and talent development.

Why is AtkinsRéalis acquiring David Evans Enterprises?

The decision to acquire David Evans Enterprises is rooted in a strategic effort to reinforce AtkinsRéalis’ U.S. footprint, especially in regions experiencing a surge in infrastructure spending. David Evans’ employee-owned structure, long-standing local client relationships, and presence in 10 U.S. states with 34 offices provide AtkinsRéalis with immediate scale and access to new market opportunities.

With a workforce of approximately 1,250 professionals, David Evans is active across transportation, environmental, land development, marine, survey and geomatics, and staffing services. Its technical strength and geographic reach provide an ideal launchpad for AtkinsRéalis to pursue more federal infrastructure contracts and private sector partnerships in these regions.

What strategic advantages does this acquisition create in Western U.S. markets?

The Western U.S. has become a key battleground for infrastructure development as population growth, climate resilience needs, and federal infrastructure investments intensify. Through David Evans’ regional dominance—especially in the Pacific Northwest and California—AtkinsRéalis secures critical local presence and relationships.

Over 50% of David Evans’ annual revenue, which totals around US$275 million, is derived from transportation contracts. The firm consistently ranks in Engineering News Record’s Top 100 Pure Design Firms nationally and ranks among the top five design firms in the U.S. Northwest, underscoring its status as a regional leader.

This acquisition will enable AtkinsRéalis to introduce its advanced rail, transit, and systems engineering capabilities to David Evans’ local markets. This is expected to create a formidable joint offering to address large-scale public infrastructure projects, particularly for state departments of transportation and transit authorities.

How does the deal enhance project execution and technical capacity?

David Evans’ expertise in surveying, geomatics, marine infrastructure, and environmental engineering dovetails with AtkinsRéalis’ strength in project delivery, engineering design, and systems integration. The combined entity will now be positioned to deliver end-to-end infrastructure solutions—from planning and design through to construction oversight and systems commissioning.

AtkinsRéalis expects this integration to also accelerate its entry into emerging growth sectors such as climate-resilient infrastructure and clean water systems. Additionally, David Evans’ staff augmentation services will support more flexible workforce deployment, addressing ongoing talent shortages across the industry.

What role will the combined entity play in the power and renewables sector?

The acquisition has important implications for the fast-evolving U.S. power and renewables market. David Evans’ growing capabilities in renewable energy and environmental services are set to be strengthened by AtkinsRéalis’ more than 100 years of expertise in nuclear, hydropower, and grid modernization.

This synergy is particularly relevant as Western states scale up clean energy infrastructure in line with aggressive net-zero targets. With a combined offering spanning power plant design, environmental permitting, and transmission network optimization, the firms are well-positioned to support utilities and state agencies in their energy transition strategies.

How does this acquisition align with AtkinsRéalis’ U.S. expansion strategy?

The acquisition aligns with AtkinsRéalis’ long-term strategy of acquiring firms with deep regional expertise to form high-growth platforms in key North American markets. Known internally as the “land and expand” approach, this model has been used to target firms that complement the company’s broader capabilities while accelerating market access.

By integrating David Evans, AtkinsRéalis increases its U.S. workforce by around 25% and enhances its capability to deliver complex, cross-disciplinary infrastructure projects. The cultural alignment—both firms place strong emphasis on employee development, technical excellence, and client satisfaction—has also been cited by leadership as a key enabler of successful integration.

Ian L. Edwards, President and CEO of AtkinsRéalis, stated that the acquisition creates a Western U.S. growth platform that will generate long-term value for clients and communities through expanded infrastructure delivery capabilities.

What are the implications for David Evans’ leadership and employees?

As part of the transaction, David Evans will continue to operate as a separate legal entity for the time being, with its leadership team remaining in place. Employee shareholders will retain a minority stake in the business until a defined path to full ownership is executed in the future.

According to Chairman and CEO Al Barkouli, the partnership will enhance David Evans’ ability to execute transformative infrastructure projects by giving the company access to AtkinsRéalis’ global capabilities, technical systems, and project delivery infrastructure.

Both companies have emphasized that this deal presents career development opportunities, broader exposure to major projects, and enhanced skills training for their combined teams. Steve Morriss, President of U.S., Latin America, and Minerals & Metals at AtkinsRéalis, noted that fostering world-class talent will remain a core priority post-acquisition.

What are the financial details and advisory firms involved in the transaction?

Under the terms of the agreement, AtkinsRéalis paid approximately US$300 million in cash to acquire the 70% stake in David Evans Enterprises, with the remaining shares held by employee shareholders. The deal was subject to customary regulatory approvals and closed in April 2025.

TD Securities acted as the exclusive financial advisor to AtkinsRéalis, with Hogan Lovells providing legal counsel. David Evans Enterprises received advisory support from AEC Advisors and legal representation from Tonkon Torp LLP.

How is the stock market responding to AtkinsRéalis’ U.S. expansion strategy?

AtkinsRéalis Group Inc. (TSX: ATRL) is currently trading at CAD 68.46, up 0.90% from the previous close as of April 14, 2025. Over the past month, the stock has gained 5.62%, although it remains down 9.56% year-to-date.

Analyst sentiment remains strongly positive. Out of 14 analysts covering the stock, the consensus rating is “Buy,” with an average target price of CAD 91.79—representing an upside potential of approximately 34%. The highest target is CAD 105.00, while the lowest sits at CAD 74.00.

On the financial front, AtkinsRéalis reported trailing twelve-month revenue of CAD 9.67 billion and net income of CAD 283.87 million, reflecting a 2.94% profit margin. The company has a return on assets of 3.38% and return on equity of 8.10%. Its earnings per share are projected to grow by 22.3% annually.

Given the strong analyst outlook and the strategic nature of the David Evans acquisition, the sentiment around AtkinsRéalis’ stock is increasingly bullish. Investors seeking exposure to North American infrastructure and energy transition plays may consider a “Buy” stance, particularly as the company continues to scale its U.S. presence through targeted acquisitions and innovation-led growth.