STOCKHOLM, Sweden, April 3, 2003 (PRIMEZONE) -- Skanska (Other OTC:SKSBF) has acquired 100 percent of the shares in the employee-owned construction firm BFW Construction Co., Ltd. in Texas. Through this bolt- on acquisition, Skanska strengthens its position in Texas, which is the second-largest construction market in the U.S.
The purchase price is US $19 M, about SEK 160 M, which gives rise to a goodwill of approximately US $7 M, SEK 55 M. The net cash in the company is approximately US $27 M, SEK 230 M. The company will be consolidated as a unit within Skanska USA Building as of April 2003.
Located in Temple, north of Austin in central Texas, BFW Construction posted sales in 2002 of US $100 M, approximately SEK 850 M, with earnings before income tax of US $2.4 M, approximately SEK 20 M. The order backlog is approximately US $172 M, approximately SEK 1.5 billion. Founded in 1964, the company currently has more than 150 employees.
BFW is a full-service firm in building construction that serves a broad range of clients, with a main focus on the education and healthcare sectors in Texas and neighboring states. The company has completed more than 225 educational facilities for local school districts and 63 projects for Texas colleges and universities. It has completed 67 healthcare facilities in Texas and neighboring states.
"The acquisition is an excellent complement that provides us a solid platform for growth in the southwest, particularly in the expanding education and healthcare sectors," says Michael Healy, President of Skanska USA Building. " The company's management has a documented track record in creating profitable growth."
The unit will be led by two BFW veterans: Bob Browder, who will succeed Franklin Kohutek as President, and Executive VP and COO David Andrews.
"We are confident that the combined core strengths of our firms, our shared entrepreneurial spirits and our long-standing mutual commitments to meet and exceed our client's needs will propel us into a prominent leadership role in the southwest construction arena," said Bob Browder. "It is also particularly exciting to become part of a company that is recognized for its efforts to continually improve upon its capabilities."
Skanska's operations in Houston will be consolidated to BFW in Temple.
Skanska is the second-largest construction company in the U.S. The Skanska USA Building business unit is one of the leading building construction companies in the US. Customers include leading U.S. companies in the biopharmaceutical, educational, healthcare and transportation industries as well as in the high-tech, sports and entertainment segments. Skanska USA Building has more than 5,300 employees in the U.S. and net sales of about SEK 42 billion, approximately US $5 billion.
For further information please contact:
Skanska AB
Peter Wallin, Senior Vice President, Investor Relations
+46 8 753 88 86
Skanska USA
Peter Gimbe, Press Officer
+46 8 753 88 38 Tom Crane, Senior Vice President
Corporate Communications
+1 973 285 8004
This and previous releases can also be found at www.skanska.com
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