Charter signed away

Support services and construction company Carillion has announced it has completed its sale of Charter, a US construction management business, to Balfour Beatty.

Balfour Beatty paid £13.7 million in cash for the acquisition, including repayment of a £3.6 million debt owed by the Carillion Group to Charter.

Carillion said Charter, formerly part of Mowlem, which Carillion acquired in February 2006, is a non-core business that does not fit Carillion’s strategy for growth.

In 2004, Charter had sales of £95 million and profit before tax of £2.2 million. Its gross assets at 31 December 2004 were £22.3 million.

Carillion said it will use the proceeds from the sale to reduce its debt.