REG - Hercules Site Svcs - Five-year contract with Balfour Beatty Rail Ltd

Hercules Site ServicesAnnouncement

09/10/2023 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20231009:nRSI0332Pa&default-theme=true

RNS Number : 0332P  Hercules Site Services PLC  09 October 2023

9 October 2023

 

Hercules Site Services plc

 

("Hercules" or "the Company")

Five-year contract with Balfour Beatty Rail Limited

 

Contract will see Hercules recruit specialist rail labour on live track for
the first time, opening up new opportunities for the Company.

 

Hercules Site Services plc (AIM: HERC), a leading technology enabled labour
supply company for the UK infrastructure sector, is pleased to announce that
it has been awarded a five-year contract, following a rigorous and highly
competitive tender process, to provide Balfour Beatty Rail Limited ("Balfour
Beatty Rail") with contingent labour resource which will enable it to deliver
its commitments during Control Period 7 ("CP7"). This marks the launch of a
new division within Hercules' Labour Supply business, focused on the provision
of specialist rail labour on live track to clients.

 

CP7 is a £44 billion, five-year plan for the railway in England and Wales,
which will run from 1 April 2024 to 31 March 2029. Network Rail's key
priorities during this five-year period are to deliver upgrades that will
tackle climate change and improve train performance from current levels.
Balfour Beatty Rail has been awarded major contracts during CP7 to deliver
work on behalf of Network Rail, Transport for Wales, and London Underground
and Hercules is one of six suppliers contracted to support on labour.

 

Hercules CEO Brusk Korkmaz commented, "This contract provides Hercules with an
exciting new revenue stream which has strong potential for continued growth.

 

"While we have previously provided personnel to deliver heavy civils and
earthworks to pre-enable rail-based projects, this contract will see us
recruit specialist rail labour on live track on behalf of a customer for the
first time, opening up a wider range of opportunities for Hercules in the rail
industry. Given that we have worked with Balfour Beatty Group for many years,
this news also demonstrates our ability to grow our total customer value due
to the quality of the services we provide.

 

"Additionally, it is important to highlight that the recent government
announcement about the future of HS2 has no impact on our ongoing contracts
for Phase One of HS2 between London and Birmingham. Our work at this project
continues to build momentum as we supply more contractors to site and with the
launching of our new technical rail specialism, we are well placed to capture
more value from future rail infrastructure projects."

 

For further information and enquiries, please contact:

 

 Hercules Site Services plc                                                             c/o SEC Newgate

 Brusk Korkmaz (CEO)

 Paul Wheatcroft (CFO)

 SP Angel (Nominated Adviser and Broker)                                           +44 (0) 20 3470 0470

 Matthew Johnson / Adam Cowl / Harry Davies-Ball (Corporate Finance)

 Grant Barker / Rob Rees (Sales and Broking)

 Cavendish Securities Plc (Joint Broker)                                           +44 (0) 20 7397 8900

 Adrian Hadden / Charlie Combe (Corporate Finance)

 Dale Bellis (Sales)

 SEC Newgate (Financial Communications)                                           +44 (0) 20 3757 6882

 Elisabeth Cowell / Ian Silvera / Matthew Elliott                      Hercules@secnewgate.co.uk (mailto:Hercules@secnewgate.co.uk)

 

 

About Hercules Site Services plc

 

Hercules is a leading tech enabled labour supply company for the UK
infrastructure sector. Founded in 2008, Hercules has an established track
record of profitability and fast-growth and has built a blue-chip customer
base which includes Balfour Beatty, Costain, Kier, Skanska, Dyer & Butler
and Volker Fitzpatrick. The Company has been appointed to provide labour for a
range of high-profile infrastructure projects, such as HS2, due to its agile,
innovative, digital first approach and complete service offering. It is
well-placed to benefit from any government increase in infrastructure spending
and its experienced management team has identified multiple opportunities for
growth.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  CNTEQLFBXBLXFBZ