Vinci takes majority stake in Fletcher Construction
Context
Fletcher Building has entered into an agreement to divest its Fletcher Construction division to international group VINCI, as part of a strategic restructuring initiative aimed at refocusing the company on its core building materials manufacturing and distribution operations. The transaction encompasses all of Fletcher Construction's operations in New Zealand, including its key business units, while certain non-core activities and legacy liabilities are excluded from the sale and retained by Fletcher Building. This deal is consistent with Fletcher Building's strategy to simplify its portfolio, reduce debt, and optimize its capital allocation. For VINCI, the acquisition strengthens its presence in a strategic geographic region and provides access to a local construction platform with a strong market position in New Zealand. The integration of Fletcher Construction is expected to enhance VINCI's capabilities in delivering complex infrastructure projects and expand its exposure to public and private sector programs in the region. The completion of the transaction remains subject to customary regulatory approvals and certain closing conditions related to the separation of the retained businesses by Fletcher Building.
By taking control of Fletcher Construction, Vinci continues its expansion strategy. Previously, the group had completed 2 acquisitions, including FM Conway in 2025.
Fletcher Construction, which reported an EBITDA margin of [members only] in 2025, is valued in this transaction at an EV/EBITDA multiple of below 5x.
Target
Fletcher Construction is the building division of the New Zealand-based Fletcher Building group, specializing in civil engineering, large-scale infrastructure projects, and complex construction. The group comprises several complementary entities operating across the entire value chain of the sector, ranging from public works to the delivery of technical structures and major infrastructure. The division is organized around three main pillars: Higgins, which focuses on road infrastructure, maintenance, and regional civil works; Brian Perry Civil, which specializes in complex civil engineering projects, structures, and foundations; and Fletcher Construction Major Projects, dedicated to delivering large-scale infrastructure projects for both public and private clients. This structure enables the company to cover a broad spectrum of technically demanding projects. With a strong historical presence in New Zealand, Fletcher Construction has contributed to numerous landmark projects that have shaped the country, including major infrastructure developments and nationwide construction programs. The group boasts a proven track record of executing complex projects and has the capability to collaborate with public and private sector partners on large-scale operations.
Ent. Value
NZD 300–700M
Equity Value
[members only]
Multiples
EV / Revenue
below 1.5x
EV / EBITDA
below 5x
EV / EBIT
5x–12x
Historical Financials (NZD)
Other operations with Vinci
| Date | Acquirer | Target | Country | Sector |
|---|---|---|---|---|
| 01/2025 | VINCI | FM CONWAY | UNITED KINGDOM | Infrastructure |
| 04/2021 | VINCI | COBRA IS (ACS ENERGY) | SPAIN | Public Works |
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REFERENCES
Valuation range: EV NZD 300–700M
Revenue range: NZD 1–10bn
EBITDA range: NZD 50–100M
EV/Revenue range: below 1.5x
EV/EBITDA range: below 5x
Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of Fletcher Construction by Vinci are reserved for mynth community members. Register for free to unlock full data.
Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.
Target: fletcher construction
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