KBR, Houston, announced it has completed the acquisition of 44.96% of M.W. Kellogg Ltd. (MWKL), its London, U.K.-based global liquefied-natural-gas and hydrocarbons construction business, from its former joint-venture partner, JGC Corp., Yokohama, Japan. MWKL had been a wholly owned subsidiary of M.W. Kellogg Co., KBR’s predecessor, until 1992, when Kellogg and JGC formed a joint-venture partnership. KBR will pay JGC $165 million to re-acquire MWKL, making it once again a wholly owned subsidiary, according to the Jan. 4 announcement. The consolidation of MWKL “fits KBR’s long-term strategy to enhance the range, flexibility and efficiency of KBR’s LNG and hydrocarbons offerings,” says William P. Utt, KBR’s CEO.
KBR Buys Out Japanese Partner On Energy Joint Venture
January 5, 2011