McDermott, CB&I to merge in $6B deal

McDermott and CB&I agree to merge in an all-stock deal with an enterprise value of ~$6B, creating a broad engineering, procurement, construction and installation company with ~$10B in combined revenues and a $14.5B backlog. According to the deal terms, MDR shareholders would own ~53% of the combined company and CBI shareholders would own the remainder while being entitled to receive ~2.47 MDR common shares for each CBI share owned, or 0.82407 shares if MDR effects a planned three-to-one reverse stock split prior to the deal closing.