Carillion acquires majority stake in Manchester development firm
WOLVERHAMPTON construction and support services giant Carillion has acquired a majority stake in Manchester-based property developer ASK Real Estate.
ASK’s three founders, Andy Dodd, Simon Bate and Ken Knott, have been bought out by Carillion for an undisclosed sum.
The firm’s managing director John Hughes and finance director Jonathan Cross retain their executive roles and will be joined on the board of ASK by Simon Eastwood, managing director of Carillion’s developments business and Peter Forsyth, Carillion’s director of strategy and investment.
The investment builds on an existing joint venture between ASK, Carillion and Tristan Capital Partners which is delivering a two phase development at Embankment in Manchester City Centre.
The joint venture will also submit a planning application in February for the second phase of the scheme.
The newly-constituted board of ASK will work with Carillion Developments to identify and deliver commercial property development opportunities with a projected portfolio value of £500m over the next five years in major cities forming the spine of the Northern Powerhouse from Manchester in the North West to Yorkshire and the North East.
Richard Howson, chief executive of Carillion, said: “Carillion has established an excellent working relationship with ASK on the Embankment project in Manchester and this investment will enable both businesses to build on that success at a time of exciting opportunities in the north of England.
“Carillion already has a strong presence in the region delivering prestigious projects in a number of places including Manchester, Liverpool and Leeds and this deal underlines our long-term commitment to the north.”
