Carillion : joint venture signs extension to framework agreement with Openreach with a potential value of up to £1.5 billion

Carillion telent, a 60:40 Joint Venture, has signed a 3-year extension (extendable to 5 years) to its framework agreement with Openreach, a division of BT plc, under which Carillion telent will provide a wide range of services. These include the maintenance, extension and repair of the telephone and data network in the North East, Midlands & Wales, South West and London & North Home Counties of England.

The extension also includes the delivery of asset assurance works, notably poling and related activities, for England and Wales. The initial 3-year period runs until the end of 2021.

This builds on an eight-year partnership between Openreach and Carillion telent, during which Carillion telent has been Openreach's main delivery partner for the management, maintenance and upgrading of its broadband network.

The framework is expected to generate up to £900 million of revenue over three years (Carillion's share over £500 million) and potentially up to £1.5 billion over five years (Carillion's share up to £900 million), as the agreement provides for a two-year extension, subject to performance.

Carillion Chief Executive, Richard Howson said: 'We are delighted to have agreed this extension to our framework agreement with Openreach that reflects the strong partnership we have built with Openreach over the last eight years as its main delivery partner for the management, maintenance and upgrading of its broadband network. We look forward to continuing this relationship and to supporting Openreach in delivering its objectives for further enhancing the services it provides for its customers.'