An April 3 bid by Canada-based global design giant SNC-Lavalin to buy U.K. engineer Atkins, valued at $2.6 billion, has been confirmed by both firms’ boards and further indicates a resurgence in industry sector consolidation, observers say. The Montreal firm, which has until May 1 to finalize its offer, would benefit from Atkins’ broader exposure to U.S. and U.K. infrastructure markets and being able to move away from oil-and-gas work, while the British firm would gain size to bid larger projects.

Atkins ranks at No. 11 on ENR’s latest list of the Top 150 Global Design Firms, with $2.7 billion in 2015 design revenue, 40% in transportation and 24% in power. SNC-Lavalin ranks at No. 12 on that list, reporting $2.69 billion in global revenue, mostly outside Canada, with construction revenue not included. Atkins, which was in merger talks earlier this year with U.S.-based CH2M, faced turnover in its North America leadership. SNC-Lavalin is pushing past its 2011 ethics scandal. One design-sector analyst says a link with Atkins “would allow them to do it,” but he still envisions “cultural” integration challenges. Others point to potential for “gatecrashers,” or other Atkins bidders.