Hochtief, the German construction group would be selling its services division. It is expecting the sale to net Eur170 million according to a report by a German magazine. The magazine, Wirtschaftswoche said that the number of European companies expressing interest has driven up the price.
The information came from an unnamed manager of the company. The report added that YIT of Finland, ISS ISSAS Co of Denmark, Vinci Co and Colely Co of France, Strabarg of Austria and Bilfinger of Germany have expressed interest in acquiring the subsidiary.
The majority owner of the German construction firm is ACS of Spain and the purpose of the sale is to focus on traditional construction activities. The subsidiary has a headcount of over 5,500 employees.
When sought for confirmation or comment, Hochtief declined to make one. Bilfinger declined to comment on the issue but said that it's strategy is to grow via acquisitions. Vinci Co and GDF Suez, the parent of Colely as well as Stabag were not available for comment.
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