Ferrovial, Bouygues and Acciona in the race to buy John Holland
According to sources, Leighton Holdings Ltd. (LEI), the Australian builder controlled by Hochtief AG, has received several bids for its AU$1 billion-plus construction business John Holland. We understand that first-round bids for the business closed on 24 July 2014.
The mentioned sources said that Spanish firms Acciona and Ferrovial, and France's Bouygues are among the companies that have bid for John Holland.Singaporean group ARA Asset Management could also be a rival, while a global private equity firm KKR could buy services assets being sold by Leighton.Leighton Holdings Limited acquired a 70 percent shareholding in John Holland in February 2000, which increased to 100% in 2007.
Leighton Holdings's assets are being put up for sale as part of a new value creation strategy of the firm, following a takeover bid this year by Hochtief. Leighton Holdings's 70% owner Hochtief took over the Australian company's management in March with a view to streamlining its myriad businesses, slashing costs and increasing profitability. Hochtief is controlled by Spain's ACS Group.
A process for a potential sale of the business is being run for Leighton Holdings by Macquarie Capital, which is also handling the sell down of Leighton's services operations.
Bank of America Merrill Lynch is also handling the sale of Leighton Properties, while Goldman Sachs is handling the sale of residential developer Devine Group, of which Leighton owns more than 50%.
Leighton Holdings recently borrowed money to increase its dividend 27% as Executive Chairman Marcelino Fernandez Verdes switches from investing to paying shareholders.
Country news
-
-
July 30, 2014
Korean military fund puts $40m in Australia's infrastructure
South Korea's $8.5 billion Military Mutual Aid Association (MMAA) has been the first offshore and non pension fund investor in Australia's The Infrastructure Fund (TIF). Read more -
July 31, 2014
WESTADIUM to sign Perth stadium PPP
Western Australia's Premier Colin Barnett and Sport and Recreation Minister Terry Waldron on 17 July 2014 unveiled the winning stadium design for the new Perth Stadium and Sports Precinct at a special event on the Burswood Peninsula. Read more -
August 06, 2014
John Holland-led consortium named preferred contractor for Ravenhall Prison PPP
The project involves the design, construction, finance, operation and maintenance of the prison for a period of 25 years. The Ravenhall prison will expanded to accommodate 1000 medium security male prisoners. The project also involves the design, construction, finance and maintenance of a Statewide Services Building. Read more -
August 15, 2014
Advisers appointed for Port of Melbourne lease transaction
The state of Victoria (Australia) yesterday announced the appointment of financial and legal advisers to oversee the market process for a medium term lease of Australia's largest container port, the Port of Melbourne. Read more -
August 20, 2014
Transurban announces refinancing of Westlink M7 PPP
Transurban announced last week that Westlink M7 (Westlink) has reached financial close on the refinancing of its $1,260 million in debt facilities. Westlink is 50% owned by Transurban. Read more
