Contractor Lend Lease plans to restructure its Australian operations and has warned of reduced full year construction earnings from its Australia and EMEA businesses.
The company’s four Australian construction and infrastructure businesses – Abigroup, Baulderstone, Project Management & Construction and Infrastructure Services – will be transitioned into one business in each of the building, engineering and infrastructure services sectors.
Lend Lease said the consolidation would create a more effective and competitive operating businesses. The new structure will take effect from 1 August.
The news came as the contractor warned that underlying construction markets in Australia and EMEA have softened in the second half of the year – a factor which it said was contributing to reduced earnings from its construction businesses in those regions.
In contrast, Lend Lease said its Asian Development, Australian Infrastructure Development and Australian Property businesses were performing better than 2012.