Serco Signs Pact For Belmarsh West Prison Valued At GBP415M

5th Jul 2010 07:13

LONDON (Dow Jones)--Serco Group PLC (SRP.LN), the international service company, said Monday its consortium has signed a contract with the Ministry of Justice to provide and operate a new prison at Belmarsh West, London worth GBP415 million over 26.5 years. MAIN FACTS: -Serco announced its selection, in June 2009, as the preferred bidder to provide and operate two new prisons at Belmarsh West, London and Maghull, Liverpool. -Contract will be signed later this year. -Serco will operate Belmarsh West, a local prison, under a Design, Construct, Manage and Finance contract. -Construction works will begin immediately, with completion expected in the first half of 2012. -Equity and debt finance has been secured from third parties. -Shares closed Friday at 567.5 pence valuing the company at GBP2.8 billion. -By Ian Walker, Dow Jones Newswires; 44-20-7842-9296; [email protected] (END) Dow Jones Newswires July 05, 2010 02:13 ET (06:13 GMT)