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Pin to quick picksBabcock Regulatory News (BAB)

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Market Cap: £4.75b
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Contract Award

16 Nov 2017 14:00

RNS Number : 7363W
Babcock International Group PLC
16 November 2017
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16 November 2017

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Babcock International Group PLC (Babcock or the Group)

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Babcock awarded three contracts to provide technical support services to UK's Royal Air Force

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Babcock, a leading engineering services company, has been awarded three significant new regional contracts by the UK Ministry of Defence under the Technical Support Services Provision (TSSP) for 17 sites across the whole of the UK. Worth a total around Β£160 million for the first five years for all three regions, with options for a further two one-year extensions which could increase the value to around Β£220 million, the TSSP contracts include the provision of aircraft maintenance and operations, airfield support and operations, vehicle fleet logistics, together with specialist armoury and engineering support.

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The contracts, won through a competitive tender process, are expected to see around 850 staff transferring into Babcock under TUPE regulations. Babcock's programme will support over 19 separate services and almost 5,000 requirements to Single, Joint and Tri Services.

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Babcock Chief Executive Archie Bethel said:

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"I am delighted Babcock has been selected to deliver this critical service across the RAF operational estate. These contracts cement our position as a key support partner to the RAF. We will deliver excellent integrated service capability as well as significant cost savings to our customer."

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Defence Minister Harriett Baldwin said:

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"We are investing this Β£160m in ensuring these RAF bases across the country continue to get the expert support they deserve, servicing equipment for the frontline and supporting our world-beating capability across the board. This pragmatic approach will ensure we are looking after our famous air force at home, as they protect our interests both here and around the globe."

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Babcock already provides support to a small number of stations across all of the regions but these new contracts expand that coverage across the UK. The three regions cover the following RAF stations:

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Region 1

Wales and West Midlands:

RAF Valley, RAF Shawbury, RAF Cosford and AAC Middle Wallop

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Region 2

South East

RAF Wyton, RAF Henlow, RAF Halton, RAF High Wycombe and RAF Northolt

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Region 3

Scotland and North East:

RAF Buchan, RAF Boulmer, RAF Fylingdales, RRH Staxton Wold, RAF Linton-on-Ouse, RAF Scampton, RAF Cranwell and RAF Neatishead

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ends

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Enquiries

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Babcock International Group PLC

020 7355 5300

Franco Martinelli

Kate Hill

FTI Consulting

020 3727 1340

Andrew Lorenz

Nick Hasell

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This information is provided by RNS
The company news service from the London Stock Exchange
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END
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