Fletcher Building (ASX:FBU) has bolstered its long-term outlook by securing a major 10-year contract with New Zealand Transport Agency Waka Kotahi to maintain critical sections of the state highway network, effective from April.
Under the agreement, the company's subsidiary, Higgins Contractors, will assume responsibility for infrastructure maintenance across East Waikato, the Bay of Plenty, and Hawke's Bay.
Fletcher Building CEO Andrew Reding stated that securing these integrated delivery contracts marks a significant milestone, providing a robust platform for the business over the coming decade.
The announcement follows Fletcher Building's recent agreement on Jan. 20 to sell its construction division to international group Vinci Construction for NZ$315.6 million.