Fulton Hogan expands into Australia

After paving highways across New Zealand, one of the South Island's largest and most successful companies is expanding into Australia.

Fulton Hogan is in the process of buying 50 per cent of Pioneer Road Services, which has an annual revenue of A$US450 million.

Business analyst Roger Kerr said on Newstalk ZB it is the largest acquisition for the roading and earth moving firm to date. He said Fulton Hogan already has interests in several other businesses in Australia, and about half the firm's annual revenue of $1.7billion comes from there.

Kerr said Fulton Hogan is unlikely to list on the New Zealand stock exchange, because the company believes it has no need for new capital.

-- NEWSTALK ZB