Carillion’s former facilities management contracts acquired in deal saving 2,500 jobs

Global real estate and facility management services provider, BGIS is to acquire a large portfolio of Carillion’s former facility management contracts in the UK.

The Canadian group said it had entered into an agreement with PwC, in its capacity as Special Manager for the Official Receiver.

Financial details of the deal have not been disclosed, however, the agreement safeguards the jobs of 2,500 Carillion employees and is one of the largest transfers to have been announced since the Wolverhampton group’s collapse last month.

Under the terms of the transaction, Toronto-based BGIS will acquire a portfolio of UK contracts for the delivery of services in the hospital, education, justice, transport and emergency services markets.

The transaction is subject to closing conditions and is expected to complete during the first quarter.

Gord Hicks, Chief Executive Officer of BGIS, said: “We are excited to welcome the more than 2,500 Carillion employees that will join the BGIS team upon closing.

“This deal provides continuity of services for a large number of customers providing critical infrastructure within the UK market.

“Our team is looking forward to engaging both customers and employees in the days ahead to effect the transaction and ensure a smooth transition.”

Mark Marquis, Chief Commercial Officer of BGIS, said his firm had a long-established track record of serving federal and regional government as well as large corporate clients on complex, multi-site contracts around the world.

“With this transaction, we look forward to building a large presence in the UK facilities management market and providing customers with the same industry leading service and capabilities that we do throughout the globe,” he said.

BGIS said the acquisition furthered its goal of creating a global technically-focused real estate and facilities management business.