BAM to sell infrastructure subsidiary
21 June 2022
Royal BAM Group has agreed to sell its German infrastructure subsidiary Wayss & Freytag Ingenieurbau to Zech Building, in a deal worth 鈧50 million.
Frankfurt-based Wayss & Freytag provides civil engineering and tunnelling services across Germany and internationally for clients from Germany, Austria and Switzerland.
It has a turnover of roughly $500 million, employs 1,000 workers and its current major projects include the construction of the Femern Belt tunnel, which is being undertaken as part of a joint venture.
Ruud Joosten, CEO Royal BAM Group, said, 鈥榃e are pleased that with Zech Building as the new shareholder for Wayss & Freytag Ingenieurbau, we have found a reliable partner to continue the further successful future of the company and its employees.鈥
The construction arm of Zech Group, Bremen-based Zech Building specialises in large scale real estate development and provides a full value chain of services for a range of projects, such as shell structures, turn-key-ready buildings and the refurbishment and upgrading of existing buildings.
It鈥檚 acquisition of Wayss & Freytag is the second major deal it has agreed with BAM - having acquired BAM Deutschland in October of 2021.
BAM, which in February of this year also sold its Belgian subsidiary BAM Gal猫re to construction firm Thomas & Piron Group, said the divestment of the businesses are part of a strategic growth plan to focus on its core markets in the Netherlands, UK and Ireland.
As such, the streamlining of the company鈥檚 operations is in line with a new organisational structure that aims to maximise growth opportunities and help support its clients in lowering their carbon footprint and improve sustainability.
Joosten said, 鈥淲e consider the current transaction as a major step in the portfolio adjustment of our Group, based on our strategy Building a sustainable tomorrow.
鈥淏AM focuses on growth markets in the Netherlands, the United Kingdom and Ireland, where we have scale and competitive advantage.鈥
The sale of the Wayss & Freytag subsidiary, which is subject to approval by the competition authorities, is expected to be completed in the third quarter of this year.
STAY CONNECTED
Receive the information you need when you need it through our world-leading magazines, newsletters and daily briefings.