Dutch contractor Royal Bam Group has completed the sale of its German division, including subsidiaries Bam Immobilien-Dienstleistungen and Bam Sports, to German rival Zech Group.
Announced in September 2021, the deal has been signed off by competition authorities.
The financial details of the transaction are not being disclosed. Bam Deutschland generated annual revenues of approximately €500m and employed 750 staff.
Bam states that the sale will increase capital ratio by shortening of the balance sheet and will reduce liquidity and the use of bonding.
The firm says that the sale will allow the group to focus on growth markets in the Netherlands, the UK and Ireland.
The move is said to have a “limited impact” on the firm’s 2021 income statement and will not change Bam’s 2021 outlook.
Ruud Joosten, Royal Bam Group’s chief executive, said: “This transaction is a major step forward in delivering our Building a Sustainable Tomorrow strategy. Bam is focusing on growth markets where we have scale and competitive advantage.
“In other markets we are managing our subsidiaries for value and potential divestment. With Zech Group and Gustav Zech Foundation as the new shareholder, we have found a trusted partner and paved the way for the successful future of the company and its employees.”