Galliford Try to share in £250m MoD contract
HOUSEBUILDING and construction group Galliford Try said yesterday it has won a contract with the Ministry of Defence to work on £250m worth of building projects in Scotland.
Next Generation Estates Framework is a programme launched by the MoD to replace a mix of management, maintenance and development contracts across the UK defence estate, due to expire next year.
Galliford Try has been hired alongside four other companies including Lend Lease and Interserve to work on £250m worth of construction projects across the defence estate in Scotland.
Each project will be worth up to £12m apiece and will see Galliford developing infrastructure as well as maritime and rural assets.
Galliford won the deal thanks to its subsidiary Miller Construction, which it acquired for £16.6m this summer exactly for procuring this kind of project. It is the first significant contract Galliford has won with the Ministry of Defence in years.
Galliford Try’s chairman Greg Fitzgerald, who plans to retire next year, said: “We are delighted to have secured this opportunity, and are confident in our expertise to meet the demanding requirements of this framework.”
“Our demonstration of innovation and flexibility, as well as Galliford Try’s heavy emphasis on sustainability and energy efficiency, will stand us in a good position to deliver efficiently for this specialised market,” he said.
The FTSE 250 company posted record profits last year thanks to its housebuilding arm Linden Homes, which benefited from the booming housing market.
The construction market has been more challenging; however, Galliford said it was securing new work on more robust terms thanks to improving conditions.