SGS to Buy ATS for $1.3 Billion to Boost US Testing Revenue

SGS SA has agreed to buy US firm Applied Technical Services Corp. for an enterprise value of $1.33 billion, as the world’s largest inspection company aims to bolster revenue from the US.

ATS is a provider of specialized testing, forensics and calibration in aerospace, defense, manufacturing, and power generation. It employs 2,100 people and has a network of 85 facilities across the US, SGS said in a statement on Wednesday.

ATS expects to register sales of about $460 million next year, and the deal, if approved, would lift overall US sales to more than $1.5 billion, SGS said.

Consolidation is ...