Bovis Lend Lease CEMEA

Transcription

1 Bovis Lend Lease CEMEA Sergio Casari Chief Executive Officer Investor Roadshow UK / US May 2006

2 Agenda Introduction CEMEA Team Market Overview Business Diversity Strategic Issues Focus Projects Summary 80

3 We operate a Professional Service business across Continental Europe and in the Middle East Project & Construction Management Fee for Services business Unique geographic network with capacity to support international clients and exploit local market opportunities Corporate HQ, Spain Balance of local and international resources Focused approach to sectors of specialisation Airport Expansion, Czech Republic Limited central overheads with operational flexibility to rapidly exploit market opportunities Mixed-use Development, UAE 81

4 Focused and streamlined organisation collocated across the Region to exploit local opportunities CEO Sergio Casari Iberia Italy Middle East Central & Eastern Europe CFO Bill Quarterman based in London EHS Manager Brian Long based in Madrid Head of Corporate Clients Anthony Scholes based in Milan HR Manager Matthew Free based in London Alberto de Frutos based in Madrid Spain Portugal Nicola Colella based in Milan Italy Croatia Mark Fletcher based in Dubai Dubai Abu Dhabi Bahrain Kuwait Oman Peter Titus based in Warsaw Czech Republic Poland Russia & CIS Germany Slovakia Number of Staff

5 In most countries we have been operating for more than 20 years. Recently entered Italy and the UAE MAIN OPERATIONS BP Alliance and / or Opportunistic No presence No activities Russia Middle East Seven year alliance with BP across 9 countries Focus on high growth and emerging economies Holland Poland Germany Czech R France Slovakia Switzerland Austria Ukraine Local management with international expat skills Portugal Spain Italy Croatia Romania Minimum central overheads Greece Turkey 83

6 A total 1.2bn European market with strong growth in key BLL markets Western Europe Eastern Europe Construction Market Size in bn Construction Growth in 2005 % Focus BLL Countries Powerful growth in Eastern European countries with booming residential and retail markets EU funding will generate opportunities across Europe in other core BLL sectors (Airports, Hotels, Healthcare, etc.) Source : Euroconstruct 84

7 Stable income stream emerging from our Fee based Business with selective concessions 40% 10% 50% CEMEA PAT equates to approx 15% of the total BLL profit 56% profitability Approx 800 staff Project Management & Consulting Agency Construction Management Concessions & PPPs 85

8 Strong client focus with long term relationships generates high quality of earnings Repeat clients represent circa 60% of total earnings for British Petroleum Retail/Oil European Alliance in 9 countries Citigroup Banking 40 simultaneous retail units BPB Gypsum Industrial 4 current simultaneous projects Grupo Lar Retail/Resi. 6 Parkridge Retail 6 LG Electronics Industrial 3 Dubai Int. Properties Leisure/Resi. 3 Neinver Retail 3 Generali Properties Industrial/Resi. 2 86

9 With focus on the building sector we provide solutions of outstanding value to our clients Areas of expertise Retail 21 Office & High Rise 18 Industrial & Factories 13 Hotels 10 Multi-family Residential 11 Retail Centre, Spain Others 42 (Aviation, leisure, healthcare, etc.) Off-shore Residential Development, Baharain Current Active Projects 115 Airport Terminal, Russia 87

10 A solid track record with a predictable income stream emerging from long term contracts CEMEA GPM Backlog CEMEA business has successfully grown backlog by focussing on longer term projects across all territories Disciplined bidding processes have enabled a focussed approach Step change growth achieved and maintained H2 FY04 H1 FY05 H2 FY05 H1 FY06 88

11 Strategic Issues PPP sector development Exploiting Middle East growth in target locations Capturing migration of capital into Central & Eastern Europe primarily within the industrial sector Retail & Leisure Centre, Spain Focus on large / long revenue generating projects where LLC skills are best leveraged Maintain strong base PM / CM business Mixed-use Development, Italy 89

12 Approach to the PPP market in CEMEA Applying UK skills locally in new markets Delivery risk controlled by complementing core BLL PM skills with local construction partners capabilities Bid teams in Italy & in Spain Considering opportunities in other emerging markets Marginal bid costs (approx. 250k per project) Two current live bids with more planned 9m of current committed equity 90

13 Selective PPPs generate long term value New Majadahonda Hospital, Madrid Under construction (completion 2008) Construction Value 160m BLL equity of 25% JV with top national contractors (Dragados and Sacyr) Redevelopment of the Brescia Hospital, Italy Phase I Phase II Successfully completed and in operation Construction Value 25m BLL equity 50% In negotiations Construction Value 150m BLL equity 35% JV with RBoS, Cofatech and local contractors Phase III & IV in the pipeline ( 120m additional) Majadahonda Hospital, Spain Brescia Hospital, Italy 91

14 We are exploiting the construction boom in the Middle East without exposure to construction risk Pool of international resources based in Dubai with projects in Oman, Baharain and Abu Dhabi Strict client credit policy with advance payment Only focusing on large scale projects with long term revenue stream High level Project Management services generating premium returns Theme Park, UAE New Metro Network & Stations, UAE Managing 10 major projects with a total Capex of 5bn University Campus, UAE 92

15 Strong pipeline of opportunities across the region Regional Hospital Construction Value 200m Spain Healthcare Concession Award date: June 2006 Corporate HQ Campus Construction Value 100m Spain Construction Management Award date: Q

16 Strong pipeline of opportunities across the region Regional Hospital Construction Value 150m Italy Healthcare Concession Award date: Q Mixed-use Development Construction Value 800m Italy Project Management Award date: Q

17 Strong pipeline of opportunities across the region Mixed-use Development Construction Value 180m Slovakia Project Management Award date: July 2006 Retail Centre & Hotel Construction Value 250m Poland Construction Management Award date: Q

18 Strong pipeline of opportunities across the region Commercial Development Construction Value 250m Russia Project Management Award date: Q Mixed-use Development Construction Value 300m Russia Project Management Award date: June

19 Strong pipeline of opportunities across the region Exhibition Centre Total Built Area in excess of m² United Arab Emirates Project Management Award date: Q Residential & Leisure Development Construction Value 1.2bn Oman Project Management Award date: May

20 Summary Strong PM / CM business with significant growth opportunities Flexible business model to exploit opportunities (i.e. PPP & Middle East) Strong and tested management team Unique geographic network Established track record Strong client focus & relationships Now established as a solid low risk contributor to the group 98