Carillion has won a second multi-million pound defence contract within as many weeks - an announcement that sent its shares sharply higher yesterday .
It brings the amount of work won by the 50-50 joint venture between Carillion, the Wolverhampton-based construction and support services group, and Enterprise to more than £1 billion.
CarillionEnterprise was named preferred bidder for a £500 million Regional Prime Contract to build, refurbish or maintain about 8,500 Ministry of Defence properties throughout the North, the Midlands and Wales.
The contract runs for seven years with a potential threeyear extension. The joint venture earlier this month won a similar contract, worth £700 million, from the MoD.
Carillion chief executive John McDonough said: " Government's outsourcing of support services is a major growth market and defence is one of our key sectors." Elsewhere in the construction industry, John Laing group chairman Bill Forrester was able to report "excellent progress" for the project management specialist both in the UK and overseas.
He told the AGM: " Performance in our growing number of operational PFI/PPP projects is in line with expectations, with those at the construction stage generally progressing well.
"Given the strong growth in our markets and the continuing development of the company's pipeline, we look forward to the future with confidence."
There was a similarly upbeat message for shareholders at the AGM of Derbyshire quarrying group Ennstone whose chairman, Vaughan McLeod reported good progress with the integration of former rival Johnston, which it bought recently £48.3 million.
"The acquisition of Johnston Group was a major step towards building a fully integrated English Midlands operation," Mr McLeod said.
He added: "Trading in the first quarter is in line with expectations. The Midlands market has seen some volume uplift whilst the other businesses have enjoyed a successful start. I look forward to reporting further progress at the time of our interim results in September but am mindful of the changing economic climate."