Industry sources claim that Costain is one of a list of acquisitions planned by Miletrian, which intends to float on the stock exchange.
A Miletrian source confirmed that the firm was looking for suitable purchases but refused to name targets. The source said: “We have not had a direct meeting with Costain or any listed company, certainly not in the last couple of weeks.”
He added: “We are looking very seriously at a full listing. These are exciting times.”
Costain was unavailable for comment.
Family-owned Miletrian is one of the 10 fastest-growing unlisted companies in the UK. Its turnover has risen from £9.98m in 1996 to £44.8m in the year to 31 March.
The rumours about Miletrian come in the same week as Costain appointed a temporary chairman. Dato’ Dr Ramli bin Mohamad has taken over from Dato’ Jaafar bin Dato’ Abdul Hamid, who resigned from the board last week.
In a statement to Costain employees, Mohamad, who was nominated by 34.6% Costain stakeholder , said the firm had started the search for a UK-based chairman.
Mohamad said: “Costain has made significant progress in its recovery and we are keen that the right individual with the necessary UK experience is in place to ensure its future success.”
