This article is from the Australian Property Journal archive
LENDLEASE has completed the sale of its non core engineering business to Acciona Infrastructure Asia Pacific (Acciona).
The sale comes after Lendlease posted a full year loss of $310 million, due largely to exit costs and write downs from the engineering business.
Lendlease has previously disclosed a cost estimate to exit the engineering and services businesses of $450 – $550 million on a pre-tax basis. Lendlease now expects these costs to be approximately $550 million pre tax, with $525 million pre tax ($368 million after tax) accounted for in FY20.
“The completion of the sale of our engineering business represents a significant milestone for both Lendlease and Acciona,” Lendlease CEO and managing director Steve McCann said.
“The sale represents a positive outcome for our people within the engineering business as well as for our clients and securityholders.
“Lendlease’s recent strategy update highlights the importance of focusing our resources in those areas where our competitive edge is strongest in order to drive value for our stakeholders. The sale of our Eengineering business is consistent with this strategy,” he added.
Lendlease will retain the NorthConnex, Kingsford Smith Drive and Melbourne Metro Tunnel projects.
