Bids coming in for Hochtief Service Solutions
By Helen Wright24 May 2013
Finnish contractor YIT and Austria’s Strabag have confirmed they have made rival offers for Hochtief’s services division, while at least four other contractors are reported to be eyeing the business, including Bilfinger Berger.
Hochtief Service Solutions is a facilities management and energy services business with operations in Germany, Bahrain, Denmark, Czech Republic, Greece, Hungary, Poland, Slovakia, Switzerland and the UK. Revenues in 2012 were €700 million, with net profit of €16 million. It employs some 5,700 people.
YIT said it if reached a deal it would make the Hochtief unit part of its building services business, Caverion, which it plans to spin off in an initial public offering and list later this year. YIT added that it had not yet agreed a purchase price, but expected to announce more information by the end of June.
Meanwhile, Strabag has confirmed it also made an initial offer for the business, but has not issued a full statement on the bid.
A spokesperson from Bilfinger Berger said the company was always looking at interesting targets like Hochtief Service Solutions.
Hochtief is majority controlled by Spanish contractor ACS, and earlier this month found a buyer for its airport operating business. Its non-core asset shedding strategy is part of a refocus on infrastructure business, and an effort to reduce its debt.