UK-based Laing O’Rourke has initiated a formal sale process for its Middle East operations, appointing Lumina Capital Advisors to identify a prospective new owner.
The group’s CEO, Cathal O’Rourke, said the decision to divest followed what he described as “exceptionally strong growth” in the region.
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Laing O’Rourke reported a 42% rise in “pre-exceptional” profit in its latest annual results, alongside a record order book of £17.2bn ($22.8bn).
According to the company, the Middle East business has accounted for the delivery of multiple data centre projects for clients such as Khazna and Equinix in recent years, as well as major developments, including Atlantis The Palm, Ski Dubai, Al Raha Beach, and work for Expo 2020.
Cathal O’Rourke said: “Laing O’Rourke was built on a simple but powerful idea – that there is a better way of doing things for our people, our clients, our delivery partners and the planet.
“The quality of our people and their work have built our reputation for delivery excellence in the Middle East and across our group, resulting in three consecutive record order books.
“Given this enviable set of circumstances, now is the right time to secure a new owner for the Middle East business to build on that strength moving forward.”
In a statement on 11 November, Laing O’Rourke said it had reached the decision as it turns attention to a series of long-term infrastructure projects in its core UK and Australian markets.
The group’s current major contracts include the Sizewell C nuclear project, the Great Grid Upgrade, the UK’s New Hospitals Programme, Australia’s AUKUS defence programme, and construction for the Olympics.
The company, which has operated in the Middle East for 50 years, stated that its regional workforce is “highly regarded,” with experience in industrialised construction methods across high-profile schemes.
Lumina Capital Advisors will lead the search for a buyer capable of taking the Middle East business forward.
No completion timeline has been disclosed, and the company has not confirmed whether discussions with potential acquirers are under way.
