Construction company Macmahon Holdings Ltd
(ASX:MAH) has extended its memorandum of understanding with engineering and construction company Leighton Holdings Ltd
(ASX:LEI).
However the standstill agreement, which required Leighton to obtain Macmahon’s written consent before acquiring a shareholding beyond 19.9 per cent of the issued capital of Macmahon and formed part of the previous MOU signed in 2007, has not been extended.
Macmahon CEO Nick Bowen says the agreement allows the company to continue to increase its ability to win additional large infrastructure projects in the domestic and international markets.
Mr Bowen says by joint venturing on construction projects with companies owned by Leighton Holdings, the company will add to its skill set and further develop its expertise, particularly in relation to large scale and technically complex projects.
Macmahon Holdings 2009 net profit more than halved from the year before.
