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Acquisition doubles Morrison’s order book to £3billion

Galliford Try is growing its business north of the border
Galliford Try is growing its business north of the border

Building giant Galliford Try said its acquisition of Miller Construction had more than doubled the size of its order book to £3billion.

The group, whose Scottish arm Morrison Construction is part of the Connect Roads consortium chosen as preferred bidder to build the 28-mile Aberdeen bypass, posted a 28% rise in pre-tax profits to £95.2million for the year to June 30.

Galliford Try announced its near-£16.6million acquisition of Edinburgh-based Miller Construction in July.

Yesterday, it said the Scottish expansion had accelerated its growth plans and boosted the value of orders by £1.8billion.

Chief executive Greg Fitzgerald added: “We are very pleased to have acquired Miller Construction, which more than doubles the size of our order book, adds several strategically important frameworks and also brings additional talent to the enlarged group.

“Integration is proceeding very well and ahead of expectations.

“With a record landbank in housebuilding, a larger and stronger construction business and a robust balance sheet, the group is in an excellent position.”

Deals won since the year-end include work on the new Inverness Royal Academy and a primary school in Wick.

These two projects alone are worth a total of £50.8million.

Middlesex-based Galliford Try said 2013/14 revenue came in at £1.77billion, a rise of 21% from £1.47billion the year before.

The company also announced its chief executive would retire no later than the end of 2015, and it had launched a hunt for his successor.

Mr Fitzgerald, who has been with the firm for 33 years, including nine as CEO, said: “My decision is a personal one and I am fully committed to delivering the company’s growth strategy.

“As our full-year results…demonstrate, the group is in great shape, with a strong management team, and very well-equipped for the future.”

Chairman Ian Coull said: “On behalf of the board I would like to thank Greg for his excellent leadership.

“Greg is committed to ensuring a smooth transition and will leave the business in a strong position for his successor.”

FTSE 250 Index-listed Galliford Try employs about 4,000 people throughout the UK.