Skanska acquires the US Construction Company The Gottlieb Group
Skanska is continuing to strengthen its competitiveness in New York by acquiring 100 percent of the American Construction Company The Gottlieb Group. The purchase price for The Gottlieb Group is USD 10.6 M.
Skanska acquires the US Construction Company The Gottlieb Group
Skanska is continuing to strengthen its competitiveness in New York by acquiring 100 percent of the American Construction Company The Gottlieb Group. The purchase price for The Gottlieb Group is USD 10.6 M.
The impact of the acquisition on earnings for Skanska in 1999 is expected to be USD 2.0 M.
The Gottlieb Group is a civil engineering company based in New York. Sales in 1998 amounted to USD 44 M. Pre-tax profit was USD 3.5 M. Gottlieb focuses on infrastructural construction such as water and waste-water treatment plants and subway stations.
The Gottlieb Group will become a subsidiary of Slattery Skanska, with which it already has extensive cooperation. The two companies are now part of a consortium replacing the escalators at various subway stations in New York as well as performing an 80 MUSD restoration of the Times Square subway station in New York City.
"The acquisition is in line with our strategy to expand our core operations. The company is highly reputable, profitable and well managed. In addition we also gain management expertise. It is very satisfying that the former shareholders of Gottlieb will remain as management of the Group," says Stuart E. Graham, President of Skanska USA, the fifth largest U.S. construction company.
"Our base in the New York area, where The Gottlieb Group holds a strong position, is now further strengthened within the infrastructure segment," says Stuart E. Graham, commenting on the acquisition.
Key figures The Gottlieb Group 1998:
| MUSD | |
| Net sales: | 44 |
| Operating Income: | 3,0 |
| Income after Financial Items: | 3,5 |
| Order backlog (12/31/98): | 107 |
| Total Assets: | 13,5 |
| Return on capital employed: | 37 % |
| Number of employees: (December 31,1998) |
150 |
Stockholm, May 17, 1999
SKANSKA AB
Group Communication
For additional information, contact:
Stuart Graham, President, Skanska USA,
tel +1 718 747 34 54
Tor Krusell, Director, Group Communication, Skanska AB,
tel +46 70 543 87 47