Downer wins major NZ road maintenance contracts amid share buyback

Downer EDI Limited announced its selection as the preferred contractor for four New Zealand Transport Agency Waka Kotahi (NZTA) state highway network maintenance contracts. Commencing in May 2026, these contracts cover Central Waikato (10 years), Taranaki (three years), Tairawhiti (three years), and Coastal Otago (10 years). The estimated total revenue from these contracts is approximately NZD$870 million, covering initial five years for Central Waikato and Coastal Otago, and full terms for Taranaki and Tairawhiti. The scope includes routine and non-routine inspections, pavement and surfacing renewals, drainage, environmental, traffic services, and structure maintenance, plus emergency response.

Concurrently, Downer is executing an on-market share buy-back program for its ordinary fully paid shares. As of December 18, 2025, the company had bought back a total of 8,237,680 securities before the previous day's trading, and an additional 131,342 securities on December 17, 2025. The total consideration paid for the shares bought back on December 17, 2025, was AUD 1,039,782.08, with prices ranging from AUD 7.87 to AUD 7.98.

The buy-back, which commenced on September 16, 2025, and is scheduled to end on June 30, 2026, aims to repurchase a maximum of 33,578,684 shares. As of December 17, 2025, 25,209,662 securities remained to be bought back, out of a total of 671,573,679 shares on issue. This strategic buy-back coincides with Downer's significant contract wins, reinforcing its position in essential infrastructure services.