Skanska Whessoe close to sale

Skanska Whessoe, one of three parts of Skanska UK put up for sale as a result of no longer being seen as core to the group's future direction, is close to being sold.

Negotiations are well advanced for the sale of the liquid natural gas contracting business to Al Rushaid Investment Group of Saudi Arabia.

Al Rushaid is the ninth-largest Saudi Arabian company and is the largest oil and gas service company in the Middle East. It wished to expand its influence in these areas worldwide and the Whessoe acquisition forms part of this strategy.

Skanska UK chief executive David Fison said: "We are focused on a strategy for growth within the UK while Whessoe serves an international market. We are confident that Whessoe will thrive as part of the Al Rushaid Group."

Skanska Whessoe managing director Jon Dale commented: "This represents an opportunity to expand into different geographic and technical areas."