Kier restructures its Infrastructure Services division and MD announces retirement

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Kier Group plc intends to restructure its Infrastructure Services division, and Mark Pengelly, group managing director, announces his retirement

From 1 July 2023, Kier’s current business streams of Highways, Utilities and Infrastructure will become two.

The two business streams, Transportation and Natural Resources, Nuclear & Networks, will align the Group’s capabilities, skill and expertise to the evolving needs of its customers, through the design, build and operational phases of projects.

The Group will continue to report under the three divisions of Infrastructure Services, Construction and Property.

  • Transportation – this business stream will provide works and services that support the movement of people, goods and equipment by land, sea and air. It will consolidate its design, build and maintenance proposition for its existing highways maintenance and major projects business, as well as becoming responsible for Kier’s broader rail, airports infrastructure and ports’ sectors. This business stream will assume responsibility for the Group’s role in EKFB, a joint venture which is delivering civil engineering works for an 80km section of the new high speed rail link (HS2). Joe Incutti, currently Group managing director, Kier Highways, will now spearhead the whole Transportation business stream.
  • Natural Resources, Nuclear and Networks – as the UK moves into the next generation of water management, energy generation and infrastructure assets and the network distribution of essential services, this new business stream will best enable Kier to deliver a design, build and maintain offering for its clients. This will be led by Andrew Bradshaw, currently Group managing director of Utilities.  Ross Mackenzie, interim managing director of Kier Infrastructure will assume the role of managing director, Natural Resources and Nuclear.

Andrew Davies, chief executive of Kier Group, comments: “The realignment in our Infrastructure Services business is a critical step in supporting the execution of the Group’s medium-term value creation plan and enabling us to respond proactively to client needs in the key markets in which we operate in.

“As a Group, we continue to be agile and evolve to the needs of our clients and these new business streams support our design, build and maintenance capabilities.

“Joe and Andrew both have proven track records in delivering operational and commercial excellence and collectively through the strength and skills of our people, we are well-placed to deliver the next generation of infrastructure for communities across the UK.”

Mark Pengelly group MD of Infrastructure to retire at the end of 2023

Kier has also announced that Mark Pengelly, Group managing director of its Infrastructure business and managing director of Eiffage, Kier, Ferrovial Construction and BAM Nuttall (EKFB) will be retiring from both positions at the end of 2023.

Pengelly will continue to oversee operational delivery of EKFB, the joint venture which is responsible for delivering civil engineering works for an 80km section of the new high speed rail link (HS2) between the Chiltern Tunnel and Long Itchington Wood, until the end of the year, and will support with the search for his successor and an orderly transition and handover.

Andrew Davies, Kier Group CEO, commented: “Mark has been a fundamental part of our leadership team and Kier’s history and I would like to thank him for his hard work and dedicated service to the Group over nearly four decades.

“Mark goes with our very best wishes and we hope he enjoys his well-earned retirement.”

Pengelly joined Kier 39 years ago on its graduate trainee programme and has progressed through the Group and delivered a wide range of construction and infrastructure projects in the UK, including Luton DART (Direct Air-Rail Transit), Crossrail and St Mary’s Hospital on the Isle of Wight.

Mark Pengelly, adds: “I’ve enjoyed 39 fantastic years at Kier. I joined as an undergraduate and over my career, I am proud to have worked with some incredibly talented people to deliver critically-important infrastructure which has helped connect and support communities.

“To finish my career working on one of Europe’s largest infrastructure projects is a real highlight and, over the coming months, I will continue to work with our joint venture partners on this project.

“I’d like to sincerely thank colleagues – past and present – who have helped shape and support my career over the years, and I look forward to seeing the next generation of talent drive the industry forward.”

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