Lendlease Sale of British Unit to US Equity Firm Faces UK Official Review

Days after Sydney, Australia-based developer-contractor Lendlease announced its intent Jan. 2 to sell its U.K. business—its last in a non-domestic market—to U.S. private equity firm Atlas Holdings LLC for $70 million, the deal has been paused due to regulator review of possible national security risks in the unit’s defense contracts, according to a report by British publication Construction News. 

The U.K. government did not comment on the review, but it was reported that it is set to take at least 30 days, and is mandated by law related to acquisitions of firms involved in defense ministry projects. Lendlease has five contracts with the ministry. But the deal still is expected to be completed by midyear, the company said.

At that time, Greenwich, Conn.-based Atlas Holdings is set to restore Bovis as the brand for the London-based operation, which was dropped by Lendlease in 2011, a company spokesperson confirmed.

The PE firm also owns Permasteelisa S.p.A., the Italy-based global specialty fabricator and contractor known for advanced building facade installation on iconic towers and other structures with complex geometrics that was acquired in 2020, as well as Veritas Steel, the third-largest U.S. steel fabricator and specialist in bridge structures.

Lendlease announced the sale of its global businesses last year to focus on the Australia market shortly before its New York and New Jersey operations were acquired by Milford, Mass.-based Consigli Building Group Inc.