Renew subsidiary acquires Route One

Engineering services group Renew Holdings has acquired specialist engineering business Route One via its Carnell Group subsidiary for an enterprise value of £5.0m.

Renew said on Tuesday that Route One, which provides end-to-end solutions for bridge deck maintenance and protection across the UK highways sector, has a number of long-term frameworks on the National Highways Scheme Delivery Frameworks across England.

The AIM-listed group stated the cash consideration would be funded from existing cash resources, and there was no deferred or contingent consideration payable.

"The acquisition represents an excellent strategic fit for the group. Route One will expand Carnell's offering by adding new capabilities to the group's highways business, with particular expertise in bridge and structures maintenance and repairs," said Renew.

"The UK Government's planned investment in the next Road Investment Strategy from 2025 to 2030 will provide good growth opportunities, where the structures renewal programme has been identified as a key priority."

As of 1100 BST, Renew shares were up 0.28% at 906.49p.

Reporting by Iain Gilbert at Sharecast.com