Balfour Beatty JV picked for £378m Hong Kong tech-hub expansion

Balfour Beatty’s joint venture, Gammon, has won a £378m contract to build a development at a Hong Kong government-owned tech business park.

Gammon, which is a 50/50 partnership between the FTSE 250-listed firm and conglomerate Jardine Matheson, was awarded the contract to develop the scheme at Cyberport in Hong Kong’s Southern District.

Cyberport is currently home to about 1,900 start-ups and digital tech companies, according to its website. It consists of four office buildings, a hotel and a retail/entertainment complex.

Under the contract, Gammon will construct a 10-storey building offering office space, a data-services platform, a multifunctional hall and ancillary facilities. The JV will also upgrade the nearby Cyberport waterfront park.

Gammon had already worked on the scheme’s foundation and excavation.

Kevin O’Brien, Gammon’s chief executive, said: “We are delighted that Cyberport has once again selected Gammon to work with them on this expansion project.”

In its latest full financial year, Hong Kong-based Gammon reported a slight rise in profit to £63m off an increased turnover of £2.1bn. It helped boost Balfour’s full-year numbers as it reported higher group annual profits and revenue.

Balfour Beatty has had its stake in Gammon for nearly 20 years. It acquired its 50 per cent share in 2004 from Skanska for £35.7m.

Gammon, which originates from a construction business founded in India in 1919, also operates in mainland China and across south-east Asia.

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