HUNDREDS of workers at the offices of a global engineering firm were told yesterday that the business is to be sold to a US rival in a deal worth about $675m (£437m).

Norwegian firm Aker Solutions said it had agreed to sell part of its process and construction business (P&C), which employs 700 staff in Stockton, to Jacobs Engineering Group.

Aker said it wished to concentrate on its core oil and gas business.

A spokeswoman for the Stockton office said the deal was in the very early stages and said there was no reason to believe jobs were at stake.

She said: “They are buying a business which includes contracts and a workload that is secure. It is a strong position.”

Jacobs chief executive Craig Martin said: “P&C’s talented employees and strong client relationships align well with our relationship-based business model. We are acquiring solid businesses with a history of good performance.

“This acquisition allows us to further diversify our services and drive greater growth in our business.”

Gary Mandel, the executive vice-president of Aker Solutions’ P&C business, is expected to follow the division to Jacobs.

He said: “Over the last few years, our business area has continued to develop into a global project execution leader.

“Through Jacobs, we have access to a much wider global resource base that enables us to enhance our service offerings for customers and provide more opportunities for employees.”

The purchase is subject to regulatory approvals, but both firms hope to complete the deal by the end of March.

The P&C division provides engineering, procurement, construction and consultancy services across three industry segments: mining and metals, onshore oil, gas and process, and energy and environmental, including services to the nuclear industry.

It is within mining and metals that Jacobs expects to expand its global prescence through the purchase.

As well as Stockton, the deal affects about 250 UK staff in Port Solent, Warrington and Whitehaven, and about 4,500 worldwide.

Jacobs is one of the world’s largest engineering firms, with revenues this year of about $10bn. It has more than 50,000 employees and about 160 offices in more than 20 countries, including the UK.