Rok plc

Rok plc was a British construction and engineering company headquartered in Exeter. Its origins lay in Exeter Building Contractors Ltd, formed in 1939 to carry out government work connected with the beginning of the Second World War. The business continued after the war and subsequently traded as EBC Group, developing through regional expansion and acquisitions in construction, property, maintenance, and building services. EBC Group became a publicly traded business in stages. It joined the London Stock Exchange's Unlisted Securities Market in 1981 and moved to the exchange's official list in 1988. During the 1980s and 1990s it expanded beyond its original base, including through operations in southern England. The company benefited from activity in both contracting and property during the early 1990s and pursued opportunities associated with National Lottery-funded projects and the private finance initiative. A major corporate reorganisation followed the appointment of Garvis Snook as chief executive in 2000. In 2001 the company adopted the Rok name and used the positioning line “The Nation's Local Builder.” The new identity accompanied a growth strategy built around regional offices and acquisitions. Rok added businesses involved in retail maintenance, Scottish construction, southern England contracting, engineering, plumbing, electrical work, and social housing. It also attempted an unsolicited strategic expansion in 2003 by making a reported £116 million approach for rival contractor Galliford Try, although Galliford Try's board rejected the bid. The acquisition programme continued with the purchase of Tulloch Construction in 2006, including its engineering, plumbing, and electrical division, and Avonside Services in 2007. In 2008 Rok acquired social-housing contractor Richardson Projects. These transactions broadened the company's service mix and regional reach, but they also increased the complexity of the business during a difficult economic period. The global financial crisis and the downturn in UK construction placed substantial pressure on Rok. In 2009 the company reduced its new-build activity after turnover fell sharply in the first half of the year. In 2010 it issued a profit warning and suspended its head of finance after identifying alleged serious weaknesses in financial controls. Management also sought to increase the proportion of work undertaken in-house where practical. Rok entered administration in November 2010 after reporting a loss of £3.8 million for the first half of that year. Contemporary accounts cited substantial obligations to suppliers and a significant pension deficit. The business was subsequently broken up. Balfour Beatty acquired Rok's affordable-housing and construction activities for £7 million and transferred the acquired operations and 381 employees into its Mansell regional construction business. Another part of the former Rok business later emerged as Topcon. Rok plc therefore no longer operates as an independent company.

Rok's corporate history began in 1939, when Exeter Building Contractors Ltd was established to undertake government contracts associated with the start of the Second World War. The company proved effective enough during the conflict to continue operating in peacetime. It later adopted the EBC Group name and expanded through a mixture of organic development and acquisitions of regional businesses. The group entered London's Unlisted Securities Market in 1981 and advanced to the London Stock Exchange's official list in 1988. During the 1980s it extended its presence into southern England, including through an office in Eastleigh and an acquired operation in Reading. Its contracting and property divisions performed strongly during the early 1990s. The company also pursued work connected with National Lottery-funded schemes and the emerging private finance initiative model. Following the appointment of Garvis Snook as chief executive in 2000, the business underwent a substantial reorganisation. In 2001 it changed its name to Rok and introduced the slogan “The Nation's Local Builder.” The rebranding reflected an effort to combine a broad national footprint with locally managed operations. Expansion in the early 2000s included offices and acquisitions in retail maintenance, Scottish construction, and southern England. Rok's proposed £116 million acquisition of Galliford Try in 2003 was rejected by Galliford Try's board. Rok continued to broaden its capabilities. In 2006 it bought Tulloch Construction of Inverness, transferring approximately 875 employees and bringing the Corrie Group's engineering, plumbing, and electrical operations into the enlarged company. Later that year it began a restructuring, including the departure of senior London-based personnel and a reduced emphasis on large contracts. The company acquired Avonside Services, a plumbing and electrical business, in 2007 and Richardson Projects, a social-housing contractor, in 2008. The recession created severe conditions for the group. Rok reduced new-build work in 2009 as turnover declined materially. In 2010 it issued a profit warning and suspended its head of finance after alleged serious shortcomings in financial controls were identified. It also sought to perform more work in-house where that was considered feasible. Rok entered administration in November 2010 after recording a £3.8 million loss for the first half of the year. Reports cited approximately £100 million owed to suppliers and a pension deficit of around £90 million. The company was broken up: Balfour Beatty acquired the affordable-housing and construction operations for £7 million, placing them within Mansell along with 381 employees, while another former Rok branch later emerged as Topcon.

• 2010

  Enters administration

  [1]Rok plcen.wikipedia.org

  Rok ceases independent operations after losses, financial-control concerns, and severe financial pressure.

• 2006

  Acquires Tulloch Construction

  [1]Rok plcen.wikipedia.org

  Rok expands in Scotland and adds Tulloch's technical-services activities and workforce.

• 2001

  EBC Group becomes Rok

  [1]Rok plcen.wikipedia.org

  The company adopts the Rok name and the slogan “The Nation's Local Builder.”

• 2000

  Garvis Snook becomes chief executive

  [1]Rok plcen.wikipedia.org

  A leadership change precedes a major reorganisation of the company.

• 1988

  Moves to the official list

  [1]Rok plcen.wikipedia.org

  The group is upgraded from the Unlisted Securities Market to the London Stock Exchange's official list.

• 1981

  Joins the Unlisted Securities Market

  [1]Rok plcen.wikipedia.org

  EBC Group becomes publicly traded on the London Stock Exchange's Unlisted Securities Market.

• 1939

  Exeter Building Contractors Ltd is formed

  [1]Rok plcen.wikipedia.org

  The business is established in Exeter to undertake government contracts at the beginning of the Second World War.

Rok positioned itself as a nationwide network of locally based construction businesses, reinforced by the slogan “The Nation's Local Builder.” Its activities combined regional contracting with maintenance, housing, property, and technical building services.

• Construction

  General construction contracting

  Rok delivered regional building and construction work for public- and private-sector clients. Its contracting activities formed one of the company's principal operating areas and were later included among the assets sold during the 2010 administration.

• Housing construction · 2008

  Affordable and social housing

  The company developed an affordable- and social-housing capability, strengthened by its acquisition of Richardson Projects in 2008. This business was among the Rok activities acquired by Balfour Beatty after the administration.

• Facilities and maintenance

  Building maintenance

  Rok operated maintenance activities, including retail maintenance through its acquisition of Retail Maintenance Services. These services complemented its construction work and supported the group's locally based operating model.

• Building services · 2006

  Engineering, plumbing, and electrical services

  Rok expanded into building-services work through the Tulloch and Avonside transactions. The activities covered engineering, plumbing, and electrical services and broadened the company beyond conventional building contracting.

• 2010

  Alleged financial-control failings

  Rok issued a profit warning and suspended its head of finance after identifying allegedly serious weaknesses in the company's financial controls. The episode occurred shortly before the company entered administration.

  Source

Read more

• 2010

  Enter administration and sell operating divisionsOther

  Background

  Rok reported a first-half loss and faced supplier obligations, pension liabilities, and concerns about financial controls.

  Action taken

  The company entered administration and its affordable-housing and construction businesses were sold to Balfour Beatty.

  Aftermath

  Balfour Beatty integrated the acquired operations and 381 employees into Mansell, while another former Rok branch later emerged as Topcon.

  Acquisition value for affordable-housing and construction businesses. £7 million (2010)

  Source

• 2009

  Reduce new-build activityStrategy

  Background

  The recession weakened construction demand and Rok's turnover fell substantially in the first half of the year.

  Action taken

  Rok reduced its new-build activities and later sought to increase the amount of work carried out in-house where practical.

  Aftermath

  The measures did not prevent the company from entering administration in 2010.

  Source

• 2003

  Propose acquisition of Galliford TryM&A

  Background

  Rok pursued further scale in the UK construction sector during a period of expansion.

  Action taken

  It submitted a reported £116 million bid for Galliford Try.

  Aftermath

  Galliford Try's board rejected the proposal, so the transaction did not proceed.

  Proposed acquisition value. £116 million proposed bid (2003)

  • Galliford Try — The board rejected Rok's proposal.

  Source

• 2001

  Rebrand EBC Group as RokStrategy

  Background

  Following a reorganisation begun after the appointment of Garvis Snook as chief executive, the company sought a more unified identity for its expanding regional business.

  Action taken

  The group adopted the Rok name and introduced the slogan “The Nation's Local Builder.”

  Aftermath

  The new identity became the public brand for the company's subsequent regional expansion and acquisition programme.

  Source

1. 1Rok plcen.wikipedia.org