French heavy contractor Technip said on May 21 it would spend $300 million in cash to buy most of Baton Rouge, La.-based Shaw Group Inc.'s energy and chemicals unit, but the proposed purchase comes as two studies show industry merger-and-acquisition rates dropping in the first quarter of 2012.
Shaw says the divestiture would allow it to focus in core power areas, while Technip could gain a foothold in the booming North American oil-shale and petrochemicals markets.