Watson Wyatt says its shareholders have approved the issuance of 11 million shares of common stock to buy Watson Wyatt LLP, its global alliance partner.
Shareholders also approved the election of Babloo Ramamurthy to the Board of Directors of the Company, contingent upon consummation of the acquisition. Ramamurthy is Managing Partner of Watson Wyatt LLP. The transaction is expected to close upon completion of regulatory approvals and other closing conditions.
“We have just passed an important milestone on our way to completing the business combination,” said John Haley, president and chief executive officer of Watson Wyatt & Company. “With the support of our shareholders, we are now one step closer to better meeting the global needs of our clients by fully integrating our resources and expertise and by investing as a single firm.”
The main members of Watson Wyatt LLP approved the transaction on 19 July 2005.
Upon closing, the Company will have an estimated 41.7 million shares outstanding. Additionally, the Company may issue up to 1.95 million shares as additional acquisition consideration, contingent upon the European operation’s ability to meet specified performance targets by June 30, 2007.