Bal­four wins £1.3bn HK airport deal

The Daily Telegraph - Business - - Business - By Ben Gart­side

‘The project will en­com­pass an ex­pan­sion of the sec­ond ter­mi­nal and con­struc­tion of in­ter­con­nect­ing bridges’

CON­STRUC­TION gi­ant Bal­four Beatty has won a £1.3bn con­tract to ex­tend Hong Kong airport, the com­pany an­nounced yes­ter­day.

The deal was awarded to Bal­four’s joint ven­ture Gam­mon, which is run in con­junc­tion with the Hong Kong­based con­glom­er­ate Jar­dine Mathe­son.

The project will en­com­pass an ex­pan­sion of the airport’s sec­ond ter­mi­nal, the con­struc­tion of in­ter­con­nect­ing bridges, and me­chan­i­cal and elec­tri­cal work, as well as as­so­ci­ated viaducts and roads.

Leo Quinn, Bal­four Beatty’s chief ex­ec­u­tive, yes­ter­day said: “This award marks Gam­mon’s sec­ond sig­nif­i­cant con­tract for the Airport Au­thor­ity Hong Kong this year, and the largest sin­gle con­tract ever awarded to Gam­mon.”

The ven­ture had al­ready se­cured an­other valu­able con­tract in re­la­tion to Hong Kong airport ear­lier in 2020, com­pris­ing tun­nel con­struc­tion and bag­gage man­age­ment, worth £760m.

Bal­four an­nounced a half-yearly loss last week of £26m, largely down to the lock­down ear­lier in the year which had neg­a­tively af­fected the con­struc­tion busi­ness. At the time, Mr Quinn said the fi­nan­cial ef­fects of the pan­demic were “un­avoid­able, but they will pass”. Its or­der book rose 20pc in the pe­riod to £17.5bn, thanks in part to con­tracts con­nected to the High Speed 2 rail line.

Shares in Bal­four closed up 1.5pc at 239.2p. The stock was trad­ing at nearly 300p in the mid­dle of Jan­uary.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.