CIMIC Group

CIMIC Group Limited (formerly known as Leighton Holdings prior to April 2015) is an international contractor. It is active in the telecommunications, engineering and infrastructure, building and property, mining and resources, and environmental services industries. It has operations in Australia, Southeast Asia, New Zealand, and the Middle East. Leighton Holdings was rebranded as the CIMIC Group in 2015.[2][3]

CIMIC stands for Construction, Infrastructure, Mining and Concessions.[2]

History

Logo used prior to April 2015

Founded in 1949 by Stanley Leighton, an Englishman, Leighton Holdings was first listed on the Melbourne Stock Exchange in 1962.[4]

In 1983, Leighton Holdings acquired Thiess Pty Ltd, an Australian civil engineering and construction company that originated in Queensland in 1934.[5]

In 2000, Leighton Holdings bought a 70% stake in the John Holland Group; this was increased to 99% in 2004 and 100% in December 2007.[6]

By March 2014, Spanish company ACS Group, through its German-based construction company Hochtief Aktiengesellschaft (Hochtief), was the majority owner of Leighton Holdings, and installed Hochtief‘s CEO, Marcelino Fernandez Verdes, as Leighton's CEO.[7] In June 2014, Verdes also became chairman of Leighton's executive board.[8]

In December 2014, Leighton Holdings sold John Holland to China Communications Construction for $1.15 billion.[9]

In April 2015, following corruption allegations against Leighton Holdings from a time prior to its acquisition by ACS Group, ACS changed Leighton’s name to CIMIC Group (abbreviated from Construction, Infrastructure, Mining and Concessions).[10]

In March 2016, CIMIC purchased mining company Sedgman for A$256 million.[11]

In December 2016, CIMIC purchased engineering company UGL Limited for A$524 million.[12]

Michael Wright became CEO in succession to Marcelino Fernandez Verdes in November 2017.[13]

In 2011, one of the CIMIC Group's businesses, Thiess, was inducted into the Queensland Business Leaders Hall of Fame.[14]

In October 2019, it was announced that CIMIC Group's work on the railway upgrades on Melbourne's Sunbury train line is expected to net revenue of A$158 million, with one of the company's subsidiaries selected to work on the second stage of construction.[15]

Structure

CIMIC Group includes the following businesses:[16]

  • CPB Contractors, including Leighton Asia and Broad (construction)
  • Thiess (mining)
  • Sedgman (mining)
  • UGL Limited (services)
  • Pacific Partnerships (public private partnerships)
  • EIC Activities (consultancy)

Major projects

Antilia, the world's most valuable private residence, South Mumbai, India

Major projects undertaken by CIMIC include:

Ownership

About 70% of the shares in CIMIC Group are held by Hochtief which in turn is owned by the ACS Group.[31]

Hong Kong railway project

Leighton Asia, a subsidiary of CIMIC Group, was awarded the contract for constructing the Hung Hom station extension of the Sha Tin to Central Link, a high profile railway network extension project in Hong Kong in 2013.[32] In 2018, Leighton Asia was accused of failure to comply with local safety standards and attempting to hide this failure until a whistleblower leaked its evidence to the local press.[33] During a hearing of the commission of inquiry, the Hong Kong Government accused Leighton of corporate arrogance.[34]

References

  1. ^ a b c "Financial Results 2018" (PDF). CIMIC. Retrieved 25 February 2019.
  2. ^ a b "Leighton to change name to CIMIC in wake of corruption allegations". Retrieved 6 May 2015.
  3. ^ "Leighton name change gets green light". The Daily Telegraph. Australia. Retrieved 6 May 2015.
  4. ^ "Leighton Holdings could face fresh ASIC inquiry into potential write-downs". ABC News. 20 March 2014. Retrieved 25 February 2019.
  5. ^ "What is the future for Leighton as Hochtief moves in?". The conversation. 13 March 2014. Retrieved 20 March 2016.
  6. ^ "Australia's Leighton acquires 70% in John Holland". Asia Times. 25 January 2000. Retrieved 2 April 2015.
  7. ^ Hochtief installs own CEO at helm of Leighton, sweetens offer to raise majority stake, International, Reuters, 2014
  8. ^ "Leighton CEO appointed executive chairman". Fifth Estate. 11 June 2014. Retrieved 27 December 2014.
  9. ^ "Leighton signs agreement to sell John Holland to CCCC" (PDF). 12 December 2014. Retrieved 27 December 2014.
  10. ^ "Leighton to change name to CIMIC in wake of corruption allegations". The Sydney Morning Herald. 20 March 2015. Retrieved 6 May 2015.
  11. ^ "CIMIC makes $256m hostile takeover bid for Queensland's Sedgman". Sydney Morning Herald. 13 January 2016. Retrieved 25 February 2019.
  12. ^ "CIMIC to seize all of UGL after reaching 90pc threshold". Australian Financial Review. 19 December 2016. Retrieved 25 February 2019.
  13. ^ "CIMIC appoints new leaders as CEO departs". Australian Mining. 1 November 2017. Retrieved 25 February 2019.
  14. ^ "THIESS PTY LTD". Queensland Business Leaders Hall of Fame. 2011. Retrieved 11 July 2019.
  15. ^ "Train line contract secures CIMIC $158 million". Australian Infrastructure. 2 October 2019. Retrieved 2 October 2019.
  16. ^ "Our brands". CIMIC. Archived from the original on 20 April 2019. Retrieved 20 April 2019.
  17. ^ a b c d e "About us: history". Leighton Holdings. Archived from the original on 11 December 2007. Retrieved 27 December 2014.
  18. ^ Tallowa Contract Sets Record Leighton News Letter issue 16 August 1972
  19. ^ Star City Casino Archived 18 December 2014 at the Wayback Machine Leighton Contractors
  20. ^ "Eastern Distributor". Leighton Holdings. Retrieved 27 December 2014.
  21. ^ Westpac Place Leighton Properties
  22. ^ "The bell tolls for EastLink as foreigners move in". Sunday Herald Sun. 6 August 2011. Retrieved 25 February 2019.
  23. ^ "The Clem Jones Tunnel – An engineering feat". Archived from the original on 6 July 2011. Retrieved 27 December 2014.
  24. ^ "Oh brother, spare me the time – World". The Sydney Morning Herald. 2 August 2008. Retrieved 13 October 2010.
  25. ^ "Leighton Abigroup to build Brisbane's Gateway Bridge". Earthmover & civil contractor. October 2006. Retrieved 27 December 2014.
  26. ^ "Leighton, Macquarie win contract to build Brisbane airport link". Herald Sun. 19 May 2008. Retrieved 27 December 2014.
  27. ^ "Leighton hit by desal plant losses". Sydney Morning Herald. 15 February 2012. Retrieved 25 February 2019.
  28. ^ "Getting on with the job: $1.15 billion Tunnelling Contract on North West Rail Link". Transport for News South Wales. 25 June 2013. Retrieved 17 May 2019.
  29. ^ "John Holland and CPB Contractors JV to build Melbourne's West Gate Tunnel Project". Global Construction. 13 December 2017. Retrieved 17 May 2019.
  30. ^ "The big dig: New Harbour Metro crossing underway". Sydney Metro. 22 June 2017. Retrieved 17 May 2019.
  31. ^ Financial report 2014
  32. ^ "Major Contracts Awarded". Sha Tin to Central Link. c. 2017. Retrieved 7 February 2019.
  33. ^ "Leaked photos show workers cutting steel bars at scandal-hit HK$97.1 billion Sha Tin-Central rail link in Hong Kong". South China Morning Post. Hong Kong: South China Morning Post Publishers (Alibaba Group). 12 June 2018. Retrieved 1 February 2019.
  34. ^ "Government warns MTR Corp and Leighton Contractors against altering safety standards in Hung Hom station platform case". South China Morning Post. Hong Kong: South China Morning Post Publishers (Alibaba Group). 28 January 2019. Retrieved 1 February 2019.

External links

CIMIC official website

Thiess Pty Ltd digital story - 2011 Queensland Business Leaders Hall of Fame