Group bags another contractor as it looks to strengthen civil engineering presence in southern England

Balfour Beatty has bought south-coast contractor Dean & Dyball for £45m as tipped in this week's Building.

Ian Tyler
Ian Tyler: Buy will boost civil engineering presence in Southern England

Balfour said the deal was in line with it establishing a strong presence in the southern England.

Chief executive Ian Tyler said: “This transaction establishes a strong civil engineering base in an area where we currently have only a limited presence and adds further capability in the building sector.”

Hampshire-based Dean & Dyball turned over £262m in the year to 30 September 2007 with a pre-tax profit of £4.5m.

The company is understood to have been on the market since January, prompted to sell quickly before changes to Capital Gains Tax laws on 6 April.

After that date individuals will be subject to a flat rate of 18% on chargeable gains as opposed to a previous maximum of 10%.

It is understood Vinci had also looked at the company but decided against the purchase due to a regional overlap in Kent.