Carillion

Not to be confused with Carillon.

Carillion plc

Making tomorrow a better place
Type	Public limited company
Traded as	LSE: CLLN
Industry	Facilities management, Construction, Civil engineering
Founded	1999 (demerger from Tarmac) 1903 (foundation)
Headquarters	Wolverhampton, West Midlands, United Kingdom
Key people	Philip Green (Chairman) Richard Howson (CEO)
Revenue	£4,071.9 million (2014)
Operating income	£216.9 million (2014)
Net income	£127.5 million (2014)
Number of employees	circa 40,000 (2015)
Website	www.carillionplc.com

Carillion plc is a British multinational facilities management and construction services company headquartered in Wolverhampton, United Kingdom. It is listed on the London Stock Exchange, and is a constituent of the FTSE 250 Index.

History

Carillion was created in July 1999, by a demerger from Tarmac, which was founded in 1903; the new company included the former Tarmac Construction contracting business and Tarmac Professional Services.

In September 2001, Carillion acquired the 51% of GT Rail Maintenance it did not already own, thereby creating Carillion Rail. In August 2002, Carillion bought Citex Management Services for £11.5 million and, in March 2005, it acquired Planned Maintenance Group for circa £40 million.

After that, in February 2006, Carillion went on to acquire Mowlem, another United Kingdom support services firm, for circa £350 million and in February 2008, it acquired Alfred McAlpine, yet another United Kingdom support services firm, for £572 million. Then, in October 2008, Carillion bought Van Bots Construction in Canada for £14.3 million.

In 2009, Carillion was revealed as a subscriber to an illegal construction industry blacklisting body, The Consulting Association (TCA), though its inclusion on the list was mainly due to its previous ownership of Crown House Engineering (acquired by Laing O'Rourke in 2004), and previous use of TCA within Mowlem (acquired by Carillion in 2006). Carillion made two voluntary submissions to the House of Commons' Scottish Affairs Committee, one in September 2012, and another in March 2013, relating to its involvement with TCA.

In July 2014, subsequently, Carillion was one of eight businesses involved in the 2014 launch of the Construction Workers Compensation Scheme, though this was condemned as a "PR stunt" by the GMB union, and described by the Scottish Affairs Select Committee as an "an act of bad faith".

In April 2011, Carillion bought Eaga, an energy efficiency business, for £306 million and in December 2012, it acquired a 49 per cent interest in The Bouchier Group, a company providing services in the Athabasca oil sands area, for £24m. Then, in October 2013, the company bought the facilities management business of John Laing.

In August 2014, the company spent several weeks attempting a merger with rival Balfour Beatty. Three offers were made; the last bid, which valued Balfour Beatty at £2.1 billion, was unanimously rejected by the Balfour Beatty board on 19 August 2014. Balfour refused to allow an extension of time for negotiations which could have prompted a fourth bid. Carillion subsequently announced the same day it would no longer pursue a merger with its rival. In December 2014, Carillion acquired a 60% stake in Rokstad Power Corporation, an Canadian transmission and distribution business, for £33 million.

Operations

The Yas Viceroy Abu Dhabi Hotel built by Carillion

Carillion provides facilities management services and also undertakes a range of construction projects including roads and hospitals. Most of its business is in the United Kingdom, but it also operates in several other regions, such as Canada, the Middle East and the Caribbean.

Carillion Rail carries out track renewals on the rail network, and contract work for Network Rail.

In November 2013, Carillion was fined £180,000 plus £28,551 in costs for breaches of health and safety regulations, which led to a motorcyclist being completely paralysed in an accident, on the A12 road in England. The Health and Safety Executive said that Carillion had failed to put up signs, to warn motorists of a road closure in good time.

Its subsidiary, Clinicenta, had a contract to run a treatment centre at Lister Hospital in Stevenage which was terminated in 2013 after the Care Quality Commission found the unit was not meeting minimum standards.

Major projects

Major projects involving Carillion have included:

• New facilities for the Royal Opera House (completed in 2000)
• The Tate Modern (completed in 2000)
• Star City in Birmingham (completed in 2000)
• Darent Valley Hospital in Kent (completed in 2000)
• The Grand Mosque in Oman (completed in 2001)
• The Great Western Hospital in Swindon (completed in 2002)
• The Copenhagen Metro (completed in 2002)
• Government Communications Headquarters (GCHQ) (completed in 2003)

The Beetham Tower, Manchester built by Carillion

• The M6 Toll (completed in 2003)
• Beetham Tower Manchester (completed in 2006)
• New facilities for the John Radcliffe Hospital (completed in 2006)
• The Sheppey Crossing (completed in 2006)
• Brampton Civic Hospital in Canada (completed in 2007)
• High Speed 1 (completed in 2007)
• Aylesbury Vale Parkway (completed in 2008)
• New facilities at the Queen Alexandra Hospital in Portsmouth (completed in 2009)
• Dubai Festival City Shopping Centre and InterContinental Hotel facility (completed in 2008)
• The Yas Viceroy Abu Dhabi Hotel in Abu Dhabi (completed in 2009)
• New York University Abu Dhabi (completed in 2010)
• The London Olympics Media Centre (completed in 2011)
• London Heathrow Terminal 5C (completed in 2011)
• The Royal Opera House Muscat (completed in 2011)
• The Library of Birmingham (completed in 2013)
• The Majlis Oman (completed in 2013)
• New facilities for Southmead Hospital in Bristol (completed in 2014)
• Union Station reconstruction, Toronto (due to complete in 2016)

In October 2013, on a visit to China, George Osborne announced plans for a £800m project to be known as Manchester Airport City and due to be completed in 2016, for which, Carillion would partner with Chinese firm Beijing Construction Engineering Group (BCEG).

In July 2014, Carillion was chosen as Liverpool FC’s preferred bidder for the £75m expansion of its Anfield stadium.

Long term Contracts

In 2009 Ontario Ministry of Transportation awarded Carillion eight multi-year contracts (C$87 million per year) for snow removal and salting operations on several 400-series highways in Ontario.

External links

• Official site
• Yahoo profile