BAM Advances After Google Contract Win Report: Amsterdam MoverMartijn van der Starre
Royal BAM Group NV rose to the highest price in almost a year after reports that the largest Dutch builder by market capitalization won a contract to build Google Inc.’s European headquarters in London.
BAM jumped as much as 6.9 percent to 3.65 euros, the highest intraday price in Amsterdam trading since March 29. Google’s 1 billion-pound ($1.49 billion) headquarters in London will be built by Bunnik, Netherlands-based BAM, the Financial Times reported late yesterday, without citing anyone.
BAM is one of the parties seeking to build Google’s new headquarters, with expected construction costs of about 250 million pounds to 300 million pounds, BAM said in an e-mailed statement today. It’s up to Google to announce which party has been selected as preferred bidder, BAM said.
“The contract confirms BAM’s strong position as builder of large buildings” and will increase its visibility in the U.K. in coming years, Edwin de Jong, an Amsterdam-based analyst at SNS Securities, wrote in a note to investors. De Jong has a buy recommendation on BAM shares.
The shares were up 3.9 percent at 3.54 euros as of 12:07 p.m., giving the company a market value of 857 million euros ($1.11 billion).
Construction will probably start this year, with work scheduled to be completed in 2016, the FT reported.