Member Article

Carillion "no longer pursuing merger" with Balfour Beatty

Construction firm Carillion has announced that it will no longer be pursusing a merger with infrastructure group Balfour Beatty following several heated exchanges on the LSE over the last few weeks.

At the end of July, Balfour Beatty unexpectedly terminated merger between the two firms due to a disagreement about Newcastle-based subsiduary Parsons Brickenhoff which is in the process of being sold.

On Friday 15th July, the construction company rejected Carillion’s third and final proposal, stating that Carillion’s approach for the entire group at this stage of the sale is “opportunitistic”.

Balfour Beatty is expecting a return of up to £200 million of capital from the sales of Parsons Brinckerhoff, and it has repeatedly stated that a merger with Carillion at this time would be inappropriate.

This was posted in Bdaily's Members' News section by Ellen Forster .