Construction and engineering group releases confident trading update following 拢320m buying spree
Balfour Beatty has released a confident trading update, saying business remains strong after a six-month acquisition spree worth 拢320m.
The group said progress in the construction sector had been 鈥減articularly strong鈥�, and it had seen 鈥渧ery good progress鈥� in its engineering sector.
In spite of big contract wins such as the M25 widening and maintenance project, Balfour Beatty鈥檚 order book increased by only 拢400m, to 拢11.8bn 鈥� however, this does not take into account the order books of its 2008 acquisitions.
Since January, Balfour Beatty has made five major acquisitions, including the purchase of Dean & Dyball in March for 拢45m and Blackpool Airport in May for 拢14m.
The company also made two acquisitions in the US, GMH Military Housing for $350m (拢175m) and Barnhart for $116m (拢58m), and one in Germany, rail engineering group Schreck-Mieves for 鈧�36m (拢28m). In total, the acquisition spend is 拢320m.
The company said: 鈥淲e anticipate that order intake and trading performance will remain strong throughout the year and that we will make good progress in 2008.鈥�
Balfour Beatty will announce its interim results on 13 August.
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