Wednesday, 14 November 2018

Kier raises £24m from Australian road business sell-off

Kier has struck a deal to sell its stake in Australian road assets and management services business KHSA to joint venture partner Downer.

Downer will pay £24m in cash for the stake when the deal completes in early 2019.

KHSA, which was acquired as part of the Mouchel group of companies in 2015, reported a £7m profit last year and has total assets of £52m.

The proceeds from the sale will be used to accelerate the reduction of Kier‘s net debt. 

Kier is aiming to raise up to £50m from non-core business disposals as part of a plan to cut its debt mountain of £375m.

Two months ago Kier has sold its third-party pension management business for £3.5m.

Alongside £20m annual savings from its Future Proofing Kier streamlining programme, the group aims to reduce debt to £250m and be in a net cash position by 2021.



from Construction Enquirer http://www.constructionenquirer.com/2018/11/15/kier-raises-24m-from-australian-road-business-sell-off/

via Tumblr http://ndbasilica.tumblr.com/post/180131582059

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