Scotland-based builder CHAP Group has agreed to acquire A&A Civils, which will help expand its operations in the civil engineering sector.

This move, which will add strength to the company's position in the market and further experience to CHAP’s current management team, is set to increase its annual revenues to more than £80m ($103.34m).

CHAP managing director Hugh Craigie said: “CHAP has been impressed with A&A’s recent growth and development and we believe there is a strong strategic fit with our Civils division and the wider CHAP Group.

"Nicol [Dow, A&A managing director] and Euan have clearly demonstrated their leadership abilities, and we are excited about them and the A&A team joining the CHAP family. While in many respects it will be business as usual for the A&A team, we believe there are strong synergies that will benefit both businesses, our supply chain and our valued customers.”

The financial terms of the deal have not been disclosed.

A civil engineering contractor, also based in Scotland, UK, A&A Civils is known for delivering integrated service solutions across residential, commercial, and local authority projects. Established in 2018, the company has grown to employ 25 people.

The acquisition is a significant step for CHAP Group, which has been a part of Scotland's construction industry since its inception in 1976.

Legal and financial advisors played a crucial role in the acquisition process. CHAP Group was guided by law company Aberdein Considine and accountancy AAB to integrate A&A Civils into its operations.

Dow said: “The A&A team is extremely proud of the company’s catalogue of work and achievements to date. We are pleased this caught CHAP’s attention, leading to an approach with the opportunity to join them.

"Our workforce produces an excellent standard of work, which will only strengthen CHAP’s vision for the future. We look forward to A&A’s next chapter as part of CHAP and believe that uniting both companies’ capabilities will benefit our existing client base and staff alike.”