Housing Sector Update

Van Elle Holdings PLC

12 July 2024

 

Van Elle Holdings plc

('Van Elle', the 'Company' or the 'Group')

Housing sector contract award, strategic collaboration and factory expansion

Van Elle Holdings plc, the UK's largest ground engineering contractor, announces a contract award, a new strategic collaboration and completion of an investment in its precast pile factory.

Contract award and strategic collaboration

The Group has been awarded a scheme by Keepmoat at the former Boots site in Nottingham, reflecting its balanced exposure to partnership housing alongside open-market housebuilding.  The scheme is worth up to £3m across several phases and is the largest single scheme awarded to its Housing division in the last 12 months.  This will be the 15^th project over the last three years that Van Elle has delivered for Keepmoat.

This project will create a blueprint for a new strategic collaboration between Van Elle and M&J Evans; the UK's largest groundworker in the housing sector, with a complementary, national capability.  Under the agreement, Van Elle and M&J Evans will work closely together nationally on a customer-led basis to offer a more efficient, joined-up delivery model for housebuilders.

Investment in precast pile factory expansion

The Group also announces it has completed a capacity expansion project at the precast pile factory at its headquarters in Kirkby in Ashfield, Nottinghamshire.  The expanded factory, which is capable of 24-hour manufacturing and utilises low carbon blended concrete mixes, sits alongside the Smartfoot precast beam factory. This investment increases production capacity by over 30%, positioning the business well to benefit from the expected growing demand in the housing sector over the mid-term. 

Chief Executive Officer, Mark Cutler commented: 

"We are encouraged by the new Government's commitment to accelerate the delivery of newbuild housing. We are ready to support incremental demand with our expanded capacity and breadth of expertise, including our precast modular Smartfoot foundation solution, which offers proven benefits compared to traditional methods.  Although we anticipate housebuilding volumes to remain subdued in the immediate future, orders in Housing for the year to date are up 20% compared to last year.  We believe the Company is well positioned to play a leading partner role with a range of blue-chip customers, with whom we enjoy high levels of repeat business."

For further information, please contact:

Van Elle Holdings plc Mark Cutler, Chief Executive Officer Graeme Campbell, Chief Financial Officer	Via Walbrook
Peel Hunt LLP (Nominated Adviser and corporate broker) Ed Allsopp Charlotte Sutcliffe Tom Graham	Tel: [phone]
Walbrook PR Limited	Tel: [phone] or [e-mail]
Tom Cooper Nick Rome	07971 221 972 or 07748 325 236

About Van Elle Holdings plc:

Van Elle Holdings is the UK's largest specialist geotechnical engineering contractor. Formed in 1984 and listed on AIM in 2016, the Company provides a wide range of ground engineering techniques and services including ground investigation, general and specialist piling, rail geotechnical engineering, modular foundations, and ground improvement and stabilisation services.

Van Elle operates through three divisions: General Piling, Specialist Piling and Rail, and Ground Engineering Services; and is focused on diverse end markets including residential and housing, infrastructure and regional construction - across which the Group has completed more than 20,000 projects over the last 40 years. The Company acquired ScrewFast Foundations Limited in April 2021 and Rock & Alluvium Limited in November 2023.

 

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