Aggreko signs official supplier agreement with Vancouver 2010 organising committee
Another Olympic win for Scottish power provider
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Scottish temporary-power firm Aggreko has landed a large and prestigious contract for two big international sports events.
The Glasgow firm said yesterday that it had signed an official supplier agreement with the organising committee for the Vancouver 2010 Winter Olympics and Paralympics.
Aggreko did not reveal the value of the deal, but the firm netted revenue of more than £12.5million from a similar contract for the 2002 Winter Olympics and Paralympics.
It is the latest contract secured by the firm in relation to some of the world’s biggest sports gatherings.
Aggreko was responsible for temporary power at both the Atlanta 1996 summer games and Salt Lake City 2002 winter events, and it is working on the provision of more than 135 megawatts for this summer’s Beijing Olympics.
It has also supplied power to other high-profile events such as America’s presidential inauguration, the US Open, Ryder Cup, Super Bowl and Daytona 500. It will also be boosted by its presence at the European football championships in Austria and Switzerland this summer.
Aggreko will provide temporary power and temperature-control equipment at all of the venues for the Vancouver events plus the international broadcasting centre and the Olympic and Paralympic villages.
City analysts are predicting an impact on Aggreko’s profits from next year as a result of the deal.
Richard Rae, the head of smaller companies research at ABN Amro, said: “We’re not changing our forecasts at this early stage, but this is a good win. For investors more nervous about profits from UK plc in 2009 rather than 2008, this should provide added confidence.”
Alex Hugh, of UBS Investment Research, said: “Although it was probably expected to win the contract, this should be helpful for sentiment and continues to show the strength of the international business, where Aggreko seems to be well ahead of the competition.”
In March, Aggreko posted pre-tax profit growth of 51% to £125.5million for 2007, up from £83.1million the previous year.
