Leading professional technical and management support services provider AECOM Technology Corporation (ACM - Analyst Report) recently procured a contract from Tatweer Buildings Company to provide consultancy services for its huge construction program. The three-year consulting deal is worth $21 million.
AECOM will assist Tatweer Buildings Company, a subsidiary of Tatweer Holding Company, to develop its internal project and program management capabilities in order to establish 2,100 educational facilities throughout the Kingdom of Saudi Arabia (KSA). AECOM will support Tatweer Buildings in setting up primary and secondary educational facilities in all the 13 provinces of Saudi Arabia.
The contract will be included in the Management Support Services (MSS) segment of AECOM, which primarily offers program and facilities management and maintenance, training, logistics, consulting, technical assistance and systems integration services. The MSS segment contributed $0.9 million or 11% of total consolidated revenue during fiscal 2012.
AECOM is believed to be well-equipped to work on such educational programs for the overall upliftment for school facilities. The recent contract win is a combined effort of AECOM teams based in KSA, the United Arab Emirates and North America.
Based in Los Angeles, California, AECOM provides services to diversified markets such as transportation, facilities, environmental, energy and government. The company has around 45,000 employees spread across 140 countries.
AECOM currently carries a Zacks Rank #3 (Hold). Some better-placed stocks in the construction sector that are worth a look include DR Horton Inc. (DHI - Analyst Report), Dycom Industries Inc. (DY - Analyst Report) and Eagle Materials Inc. (EXP - Snapshot Report). While DR Horton carries a Zacks Rank #1 (Strong Buy), both Dycom and Eagle carry a Zacks Rank #2 (Buy).