Private equity tycoon Guy Hands has reportedly made a bid for the housebuilding arm of struggling construction firm Kier.
Hands’ private equity firm – Terra Firma Capital Partners – is one of the last remaining bidders for Kier Living.
Read more: Kier’s COO leaves with immediate effect
Analysts told Sky News that the company could be worth an estimated £150m, however it is believed Terra Firma have put in a lower bid.
Kier’s investment and development arm Kier Property is also up for sale, with US private equity firm Lone Star reportedly interested.
The company is expected to give an update on both of the sales early in the new year.
Kier has fallen on tough times recently, experiencing an 80 per cent decline in value over the past year.
This forced the company to undertake rescue fundraising from shareholders, while its chief operating officer Claudio Veritiero resigned last month.
Kier is one of the country’s biggest builders of roads, schools and railways, and carries out a significant amount of work for the government.
This includes two contracts worth £1.4bn to design and build major railway tunnels beneath Northamptonshire, which were originally part of a three-way joint venture including Carillion.
However, when Carillion collapsed early last year, Kier and French construction company Eiffage took on 50 per cent of the job each.
If Hands’ firm closes the Kier Living sale, it will come shortly after Terra Firma recently Wyevale Garden Centres.
The Guernsey-based tycoon is reportedly looking into a number of other potential purchases across Europe.