SGS and Bureau Veritas have ended merger discussions that would have created a European safety-testing firm with a combined market value exceeding $30 billion. In separate statements, the companies announced Monday that discussions did not result in an agreement.
A deal would have been among the largest in Europe in the past year, with SGS valued at 16.11 billion Swiss francs ($17.78 billion) and Bureau Veritas at 13.54 billion euros ($14.23 billion). In morning trade in Europe, SGS shares rose 4.5%, while Bureau Veritas shares declined 3.1%.
Both companies provide testing, inspection, and certification services across various sectors. A combined entity would have generated annual revenue exceeding $13 billion.
"Talks ended despite a strong belief in the value of consolidation in the testing, inspection, and certification sector," stated Bureau Veritas.
The companies announced their merger discussions on January 15th.