ETDE, Bouygues Construction’s
electrical contracting and maintenance subsidiary,
has won its fifth private finance initiative
(PFI) street lighting contract in the UK via
its subsidiary David Webster. The 25-year,
€66-million agreement signed with the
borough of Redcar and Cleveland in Northern
England (135,000 inhabitants) calls for the
replacement of 85% of existing lighting stock
with high-quality lights and lighting columns
in the first three years, and also encompasses
electricity supply and operation/maintenance
of 22,000 lights. The contract was backed
by an innovative project finance package,
with €30 million from investment fund
Investors in the Community, in partnership
with Allied Irish Bank (AIB), and €31
million in government support.
The contract consolidates ETDE’s
position in the international market, and
in particular in the UK, where sales are set
to reach €300 million in 2007. ETDE’s
wide-ranging capabilities in the UK encompass
street lighting, HVAC engineering and facilities
management.
David Webster: setting the benchmark
in the UK street lighting sector
ETDE acquired David Webster, which specialises
in installation and maintenance of street
lighting, communications networks and video-surveillance
systems, in June 2005. The company, ranked
number three in the UK market, has 320 employees,
and is predicted to post sales of €64
million in 2007.
The agreement with Redcar & Cleveland
is the fifth PFI street lighting contract
won by David Webster since its acquisition
by ETDE. Other customers include several London
boroughs (Barnet, Enfield and others). The
firm’s contracts in London cover more
than 150,000 lighting points.
For all of these contracts, David Webster
provides a comprehensive package of services
encompassing design, replacement of lighting
networks and equipment, operation and maintenance,
electricity supply, etc.
ETDE in the UK: multi-sector growth
ETDE currently employs 2,225 people in the
United Kingdom, where it has operations
in all of its specialist markets. The group
has had a presence in the UK since 1995
via its facilities management subsidiary
Ecovert FM.
In 2005, the group kicked off the main
thrust of its external growth policy in
the UK through the acquisition of three
top-ranked companies in less than 12 months
(street lighting contractor David
Webster; Icel,
which specialises in clean room maintenance
as well as design, installation and maintenance
of generators and inverters; and clean rooms
and HVAC engineering expert Thermal
Transfer). The acquisitions helped
boost multi-sector growth.
ETDE: a major player in the PFI
market
ETDE ranks among the leading players in
the UK private finance initiative market.
The PFI model – much longer-established
in the UK than in France – enables
public-sector organisations to upgrade facilities
and infrastructure by entrusting their financing,
design, construction, operation and maintenance
to private operators.
By way of example, David Webster won the
first street lighting PFI as long ago as
1998. Ecovert FM, meanwhile, has been providing
facilities management services for King’s
College, London and Barnet Hospital since
1999. Today, ETDE is able to draw on this
expertise and share it with other business
units of Bouygues Construction that are
involved in the development of public-private
partnerships in France and Europe.
This new contract consolidates ETDE’s
presence in international markets
ETDE currently generates 30% of its sales
across all sectors from international business,
with operations in nearly 30 countries.
Sales from international business are set
to reach €530 million in 2007, having
tripled in just four years.
About ETDE:
A subsidiary of Bouygues Construction, ETDE
is a turnkey provider and integrator of technical
and services solutions for public- and private-sector
customers in the energy, industry, service,
transport, environment and telecommunications
sectors. The company’s operations are
based around three clearly structured, customer-oriented
business areas: utility networks; electrical,
mechanical & HVAC engineering; and facilities
management. ETDE offers comprehensive capabilities
that encompass engineering, installation,
maintenance and operation for both French
and international customers. It leverages
the expertise, commitment and responsiveness
of its 12,000 employees to deliver innovative
solutions with high technological added value.
Backed by a network of 200 locations across
France, and with a presence in 20 countries
worldwide, ETDE posted sales of €1.4
billion in 2006, a 42% increase compared with
2005. Sales are predicted to rise further
to €1.8 billion in 2007.
