Interserve Regulatory News (IRV)

14 Jan 2009 07:00

INTERSERVE WINS £140m NEW CONTRACTS

Interserve, the services, maintenance and building group, has won a set of major new contracts worth a total of £140 million across a number of service streams and geographies. These are:

* A framework agreement with Mapeley covering work on a UK estate of more than 1,600 properties. * A major office and amenity building construction project associated with tanker-maintenance infrastructure in Qatar. * Financial close on the Derry Schools PFI contract in Northern Ireland. * The construction of The Kingswood School in Corby, Northamptonshire.

The Mapeley framework agreement involves construction, refurbishment, fit out and life-cycle replacement works, over a four-year term, with an estimated overall value of between £250 million and £300 million. Interserve is one of four companies in this truly collaborative framework agreement, covering the current UK-based estate of over 1,600 properties.

In Qatar Interserve's associate company Gulf Contracting, in which Interserve has a 49 per cent stake, has won a £65 million contract to build a seven-storey office block and two amenity buildings of four and two stories respectively for a major company associated with the petrochemical tanker industry. The 13-month project will include the mechanical, electrical, plumbing, heating, ventilation and air-conditioning works, fire systems and full internal finishing.

The £60 million Derry diocese schools PFI project consists of the design, build, operation and maintenance of two new Catholic girls' schools, St Mary's College and St Cecilia's College. Interserve, in consortium with long-standing Northern Ireland building partner O'Hare & McGovern, has reached financial close on the contract and work is now beginning, with both schools becoming fully operational in the 2010/2011 academic year. The facilities will cater for around 1,650 students ranging from 12 to 18 years in age. Interserve will invest £2.3 million of equity and subordinated debt in the project, representing 50 per cent of the whole. Once the colleges are open it will also deliver facilities management services such as security, waste management, porterage, grounds maintenance, pest control and specialist cleaning, with an estimated value exceeding £20 million over a period of 25 years.

Corby's Kingswood School, meanwhile, is currently based on two sites in dated facilities. Interserve has won a contract worth over £20 million to design and construct a new school on land adjacent to the current premises. Like the existing school this will be a specialist arts college and will cater for 1,200 pupils form the ages of 11-18. In addition to cutting-edge interactive equipment, ICT and science facilities it will include a purpose-built performance arts centre, state-of-the-art CAD/CAM equipment, two modern teaching kitchens, a sports hall with electronic scoring systems, a fitness suite and a synthetic sports pitch. The school is due to be ready for use at the start of the autumn term in 2010.

Commenting on the string of contracts Adrian Ringrose, Interserve's Chief Executive, said, "These successes demonstrate the strength of the sectors on which we are focused and that we are continuing to develop the long-term relationships that form the bedrock of our client base. In conjunction with the Defra support services contract which we secured at the end of 2008, we have won work worth over three-quarters of a billion pounds in recent weeks."

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For further information please contact:

Giles Scott 0118 960 2307

Head of Corporate Communications

Elizabeth Morley / Tom Roberts 020 7379 5151MaitlandAbout Interserve

Interserve's vision is to be the Trusted Partner of all our stakeholders. We are a services, maintenance and building group operating in the public and private sectors in the UK and internationally. We offer advice, design, construction and facilities management services for society's infrastructure and provide a range of plant and equipment in specialist fields. Interserve is based in the UK and is a FTSE 250 company. It has revenue of £1.7 billion and a workforce of 50,000 people worldwide.