Spanish infrastructure giant Ferrovial is looking to sell Oxford-based highways contractor Amey.
Ferrovial has confirmed it has engaged a consultant to examine the possibility of selling its services division, which includes Amey in the UK. The Financial Times has reported that the consultant is Goldman Sachs.
It has been a mixed couple of years for Amey. It recently won a place on the Highways England £8.7bn Regional Delivery Partnership framework. But it also lost a lengthy legal battle with Birmingham City Council, which saw the firm make a £189.9M pretax loss last year after making a £208M additional provision for the problem highways contract.
Amey took on the £2.7bn highways PFI, as Birmingham City Council’s long term partner, in 2010. Following complaints from residents over pot-holes, the local authority and Amey became embroiled in a lengthy a legal dispute about the quality of works carried out so far under the 25-year maintenance and management service. Birmingham City Council was ultimately successful.
A spokesperson for Ferrovial told New Civil Engineer that the company had made no final decision. A statement from the firm said: “Ferrovial notified the Comisión Nacional del Mercado de Valores (CNMV - the Spanish government agency responsible for the financial regulation of the securities markets) on 16 October that it has engaged an external consultant to explore the possibility of divesting part or all of the assets of the Services division that the company owns directly or indirectly. The main markets of our Services activities are Spain, UK, Australia, among others. No decision has been taken yet.”