Birse and Bilfinger + Berger have won their first contract together
after four fruitless years of joint tendering.
The œ20 million-plus civils package for Didcot B was awarded
by turnkey contractor Siemens late last week, sending the jv's
project team into emergency session over the holiday weekend in
preparation for a Tuesday start.
B+B took a œ12 million stake in Birse at its flotation in
1989, but a brief spell of dividends was far outweighed by years of
losses that required it to invest a further œ1.8 million last
December to keep Birse going. Today Birse shares are worth just 23p
each - almost a pound below the 1989 offer price.
Chairman Peter Birse told CJ: 'We have been rethinking our policy
on tendering. Our partners have been getting disillusioned about
the level of pricing on major road jobs. We are more at home with
large industrial clients.'
The Didcot package was won in the face of strong competition from a
list of seven that included Kier-Hochtief, Alfred McAlpine, Sir
Robert McAlpine, Mowlem, Amec and Balfour Beatty.
The contract comprises all civils and structure work for the CCGT
power scheme.