The Board of Balfour Beatty has considered the terms of the revised merger proposal from Carillion plc dated 19 August 2014 and has concluded again it fails to address the two key concerns that Balfour Beatty has consistently raised:

• The considerable risks associated with the proposed business plan, including the strategy to significantly reduce the scale of the UK Construction business when it is poised to benefit from a recovery in the market; and

• The continued intention to terminate the sale of Parsons Brinckerhoff at a point when it is reaching a successful conclusion.

Accordingly, the Board has unanimously concluded that the proposal is not in the best interests of its shareholders and has decided to reject the proposal.

Therefore the Board will not be seeking an extension to the PUSU (Put Up or Shut Up) deadline of 5pm on 21 August 2014.

The Board also notes that the revised proposal represents only a small value change in the terms compared to the proposal from Carillion rejected on 11 August 2014.

Follow in the links below the full story:

• Balfour rejects new offer from Carillion Monday, August 18, 2014

• Balfour Beatty receives four bids for Parsons, terminates negotiations with Carillion Wednesday, August 6, 2014

• Balfour Beatty and Carillion study potential merger Monday, July 28, 2014

• Balfour Beatty launches formal sale of Parsons Brinckerhoff Thursday, July 10, 2014