There was an agreement filed between structural steel works contractor ‘Severfield’ and groundworks specialist ‘Dam Structures’. Severfield is paying up to £27m to take over Dam Structures as ‘highly complementary’ to their existing business.
Severfield is particularly into high rise and stadium applications while noted for structural steelwork and big beams. However, Dam Structures business is focused on temporary and permanent works.
Construction of Dam Structures works include plunge columns, box sections, plated beams, small and large diameter propping works, façade retention towers, tower crane grillages, mezzanine floors, portal framed structures, heavy duty stairs and minor bridges.
Alongside, Dam Structures customers include Laing O’Rourke, Byrne Bros and Mace. It is also expected to give Severfield access to the rail electrification work that is planned over the next 10 years. Dam is based near Bridlington – about 50 miles from Severfield’s Thirsk home.
Dam Structures has a total of 76 employees. It has a freehold 50,00 sq ft workshop on a 19-acre site, capable of processing up to 300 tonnes of structural steelwork per week. Besides, Severfield is paying an initial £12m to acquire 100% of Dam Structures on a cash free, debt free basis.
This payable amounts involved with up to £7m payable in 2022 and up to £8m more over five years depending on performance. Dam Structures’ 55 production staff, including chief executive and former owner Phil Cook and managing director Josh Emmerson, will remain with the business.
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