Skanska Sells Holding in UK PPP Project for SEK 96 Million
Share:
STOCKHOLM, Sweden-- Sept. 22, 2006--Skanska is selling its 33 percent holding in the UK Public Private Partnership (PPP) project New Clinical Building at Kings College Hospital in Camberwell, South London. The sales price is corresponding to SEK 96 Million, and the capital gain amounts to SEK 64 Million, which will be included in earnings for the third quarter. The sales price exceeds the market value assessed by Skanska at year-end 2005 by 40 percent. The buyer is Infrastructure Investors, a British infrastructure fund.
Skanska was part of the original consortium that designed, constructed, financed and now operates the New Clinical Building at Kings College, within the framework of the UK PFI scheme for Private Public Partnerships. The consortium was awarded the project in late 1999, and the construction was completed in 2002.
"Our strategy is to build long term partnerships. This particular project was developed in the very early days of the UK PFI and we are proud to have played a key part in this project. Following completion of the development phase we are now focusing on strategic partnerships developed over the last few years and this sale aligns with that objective," says Simon Hipperson, President of Skanska Infrastructure Development.
Skanska is a leading Public Private Partnership (PPP) company in the United Kingdom. Skanska is responsible for the development of the Barts and The London new hospitals program, for which the construction contracts amount to about SEK13.6 billion - construction work started this spring.
Skanska is one of the world's leading construction groups with expertise in construction, development of commercial and residential projects and public-private partnerships. The Group currently has 54,000 employees in selected home markets in Europe, in the US and Latin America. Sales in 2005 totaled USD 17 billion.
Contacts
Per-Lennart Berg,
Skanska AB,+46 8 753 88 99
Alan Gillman,
Skanska AB,+44 20 7429 4261
