Re Contract

RNS Number : 5249F

Carillion PLC

14 January 2010

 

14 January 2010

Carillion joint venture achieves financial close on Rochdale Building Schools for the Future programme, worth approximately £192 million  

Carillion and its joint venture partners in the Local Education Partnership (LEP) have achieved financial close for the Rochdale Building Schools for the Future (BSF) programme, part of the UK Government's £55 billion BSF programme.  This latest success brings the total value of BSF projects won by Carillion to around £1.3 billion and further consolidates the Group's position as one the leading suppliers to the BSF programme.  

The LEP, comprising Rochdale Borough Council, Building Schools for the Future Investments LLP (BSFI) and Carillion, will deliver 13 new or refurbished schools in three phases over a four-year period.  

Carillion will carry out the building and refurbishment work for which the capital cost is approximately £180 million, with work due to start this month. Four of the 13 schools will be privately financed by a combination of borrowing and equity. One of these, Hollingworth School, is to be delivered in the first phase, in which Carillion will invest some £2.4 million of equity. Carillion will also invest equity in the other three privately financed schools, in due course. In addition, Carillion expects to provide facilities management services for all four privately financed schools, generating approximately £12 million of revenue over a 25-year concession period. 

Commenting, Carillion chief executive, John McDonough, said: "We are delighted to have secured financial close for this major programme and look forward to building a strong and successful relationship with Rochdale, its head teachers and their staff, to provide schools that will enable them to deliver a first-class learning experience for their students, as well as high-quality community facilities.  

"This latest success further consolidates Carillion's position as one of the UK's leading suppliers to the Government's £55 billion Building Schools for the Future programme."

For further information 

John Denning, Director Group Corporate Affairs, Carillion plc  [phone]

Finsbury 

James Murgatroyd                                                              + 44 (0) 20 7251 3801

Gordon Simpson                      

Notes to Editors

Carillion is the UK's leading support services company with a substantial portfolio of Public Private Partnership projects and extensive construction capabilities. The Group has annual revenue of around £5 billion, employs around 50,000 people and operates across the UK, in the Middle East, Canada and the Caribbean. 

In the UK, Carillion's principal market sectors are Defence, Education, Health, Facilities Management & Services, Rail, Roads, Building, Civil Engineering and Utilities Services.  

In the Middle East, Carillion's principal market sectors are Construction and Facilities Management. In Canada and the Caribbean, the Group's main sectors are Health, Roads Maintenance and Construction.

Carillion's portfolio of equity investments in Public Private Partnership projects includes projects in the UK and Canada, particularly in the Defence, Education, Health and Transport sectors.

This and other Carillion new releases can be found at www.carillionplc.com

 

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