RNS Number : 6283Y
Balfour Beatty PLC
09 July 2008
9 July 2008
BALFOUR BEATTY REACHES FINANCIAL CLOSE ON £75 MILLION
PHASE 1 OF ISLINGTON SCHOOLS FOR THE FUTURE PPP CONTRACT
Balfour Beatty, the international engineering, construction, services and investment
group, announces today that financial close has
been achieved on Phase 1 of the £150 million Islington Schools for the future PPP programme.
The contract will be executed by Transform Schools, Balfour Beatty's specialist education
concession company. Construction will be
carried out by Balfour Beatty Construction and Balfour Kilpatrick and long-term facilities
management services will be provided by Haden
Building Management, also part of the Balfour Beatty Group. IT will be provided by RM
Education.
Commenting on financial close today, Balfour Beatty Chief Executive Ian Tyler said:
"We are delighted to have reached financial close on our second Building Schools for the
Future concession, and our first using the
Local Education Partnership model. We look forward to a long-term partnership with the London
Borough of Islington and to bringing the
expertise gained in six other schools PPP schemes to helping Islington achieve its vision of
offering every child in the borough a positive
and attractive learning experience".
Ursula Woolley, Islington Council's Executive Member for Children and Young People said:
"Reaching the stage of financial close in Islington's Building Schools for the Future
programme is an important marker for Islington
Council and Transform Schools. Building work is getting into full swing now and I'm looking
forward to seeing the improvements at each
school take place. The end results will be fantastic for Islington's children, teachers,
parents and local communities too as
state-of-the-art education facilities are put in place."
Under the contract Transform Schools has incorporated, in joint venture with Islington and
BSFi, a Local Education Partnership to be
known as Transform Islington.
In Phase 1, Transform Islington will project manage and deliver new and refurbished
accommodation to two schools together with
facilities management and ICT managed services. In addition, through its subsidiary Transform
Islington (Phase 1), a further new PFI school
will be delivered.
Over the next five years Transform Islington will project manage, design and deliver a
further two phases comprising five schools and
two Pupil Referral Units representing a further £80m of investment in Islington's schools.
This is Transform Schools first Building Schools for the Future (BSF) project comprising
the LEP delivery model and will involve a
Balfour Beatty equity investment of £3 million.
-ENDS-
Enquiries to:
Tim Sharp
Tel: +44 (0)20 7216 6884
www.balfourbeatty.com
Notes to Editors:
1. Transform Schools has the PPP schools concessions for Stoke, Bassetlaw, Birmingham,
Knowsley, North Lanarkshire and Rotherham
involving building 75 new schools and learning centres and upgrading and maintaining over 100
others. Balfour Beatty has committed a total
of £50 million of equity investment in this market.
2. Balfour Beatty companies are construction partners in a number of other PPP schools
schemes including East Lothian, Calderdale and
is one of the two framework contactors providing construction services to the £160 million
BSF scheme for the Manchester City Council.
3. BSF is the largest single schools capital investment programme for over 50 years. The
Government plans to spend some £45 billion over a
fourteen year period on the programme. BSF will provide world-class teaching and learning
environments for all pupils, teachers and
communities in England. 4. Balfour Beatty is a world-class engineering, construction,
services and investment business, well-positioned
in infrastructure markets which offer significant long-term growth. We work in partnership
with sophisticated customers who value the
highest levels of quality, safety and technical expertise. Our skills are applied in
appropriate combinations to meet individual customer
needs.
This information is provided by RNS
The company news service from the London Stock Exchange
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