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| Bilfinger Berger sells Valemus Australia Bilfinger Berger is selling its subsidiary, Valemus Australia: on December 21, 2010 (Australian Eastern Standard Time), the company executed an agreement for the sale of all of the company's shares to Lend Lease, an Australian construction and real-estate group. The selling price amounts to AUD 1,060 million. The transaction is subject to approval from the Australian anti-trust authorities and completion is expected in the first quarter of 2011. Net proceeds for Bilfinger Berger from the sale, after deducting transaction-related expenses, are approx. AUD 970 million. At current exchange rates, this corresponds to approx. €700 million. An inter-company loan, which is expected to total €125 million at the end of 2010, must be repaid to Valemus Australia upon completion of the transaction. The remaining net cash inflow of over €500 million will be invested in the further expansion of Bilfinger Berger's services business. The sale of Valemus Australia, which will generate an output volume of over €3 billion in 2010, is a significant step for Bilfinger Berger in the reduction of the company's construction business as planned. Taking into account a risk provision for, among other things, contractual warranty obligations, the capital gain from the sale is expected to be in the range of €160 million. write your comments about the article :: © 2010 Construction News :: home page |