TERRAS CIVIL ENGINEERING GROUP – CREATING THE FOUNDATION FOR TOMORROW’S INFRASTRUCTURE

In the coming years, Germany’s infrastructure will undergo a far-reaching renewal and reorganization so that the country can continue to provide attractive jobs, continue to produce “made-in-Germany” products and offer an environment worth living in – based on a sustainable and CO2-reducing foundation. These targets require extensive investment in the German infrastructure:

(1) Federal Transport Infrastructure Plan: “Bundesverkehrswegeplan” (BVWP) is a central instrument of German transport policy and allocates funds for investments in roads, railroads, waterways and combined transport.

(2) Expansion of renewable energies: the Electricity Network Development Plan (“Netzentwicklungsplan Strom” (NEP)) pools long-term funds for grid expansion and reinforcement measures in order to ensure a reliable supply of electricity and support the expansion of renewable energies.

(3) Heat Planning Act: (“Wärmeplanungsgesetz”) aims to achieve climate-neutral district heating by 2045. Currently, only around 14 percent of households nationwide are supplied with district heating, meaning that a large gap in demand will have to be closed in the coming years through investment.

(4) Deutsche Bahn investments: the performance and financing agreement (“Leistungs- und Finanzierungsvereinbarung” (LuF)) and the high-speed investment plan of Deutsche Bahn define the framework conditions for future investments in the expansion and maintenance of the German rail network.

TERRAS positions itself as a nationally active infrastructure provider with its own added value from engineering (soil investigation, surveying) to classic civil engineering (earthworks, road construction, sewer and pipeline construction), special civil engineering and railway construction through to resources (gravel pits, quarries, recycling, landfills). The continuous expansion of the Group creates capacities for the expansion of Germany’s infrastructure.

The expansion of the Group

> The TERRAS Group (headquartered in Westerwald, Germany) has grown to a total output of EUR 150 million since 2021 through organic growth and targeted company acquisitions and generates margins well above the industry average.

TERRAS further strengthened its own market position with additional acquisitions in 2024:

Grothe Bau:

With a turnover of EUR 30 million and around 150 employees at its Lübeck site, Grothe is a full-service provider in the field of classic civil engineering. The size of the company (and thus regional coverage as far as the Hamburg area), the market reputation built up over 60 years and the wide range of services offered position Grothe as the number one contact for public sector investments (partly through long-term framework agreements with local authorities for the maintenance and expansion of electricity grids) and also allow Grothe to participate in major infrastructure projects, such as the expansion of power grids. the construction of the Fehmarnbelt tunnel.

Grothe strengthens the TERRAS North division (classic civil engineering).

Brauckmann & Damm:

With a turnover of EUR 15 million and around 50 employees, Brauckmann & Damm is one of the best-known and most efficient earthworks and sports ground constructors in Hamburg. Thanks to its advanced machinery (e.g. telescopic excavators with 3D control) and its specialization in large-scale earthworks, Brauckmann & Damm is ideally positioned to work on complex infrastructure projects (such as the U4 extension) in the Hamburg metropolitan region.

Brauckmann & Damm is also strengthening the TERRAS North division (classic civil engineering).

Surveying office Wolfert:

With a turnover of EUR 4 million and around 50 employees, the Wolfert Group strengthens the TERRAS Services division with its expertise in surveying and geoinformation services. Wolfert’s participation in major infrastructure-related projects (e.g. with the clients EnBW and TenneT in the field of line measurement for supra-regional power lines (e.g. SuedLink) and wind turbines) will enable TERRAS to consolidate its position as an infrastructure provider in Germany and to increasingly position itself in large-scale projects across all trades in the future.

Buy-and-build – criteria for acquisitions

TERRAS is continuously striving to expand the group in the target trades (surveying, soil investigation, classic civil engineering, special civil engineering, railway construction and resources) in order to achieve further growth. Relevant target companies can be assigned on the basis of the following criteria:

With the further development of the existing Group companies and further inorganic growth, the TERRAS Group is aiming for a sales volume of > EUR 500 million in 2028, covering the core trades of traditional civil engineering, railway construction and specialist civil engineering in Germany’s metropolitan regions. This means that the entrepreneurial vision of the Sojka brothers and their holding team is still far from being fully realized and the dynamic medium-sized company concept TERRAS still offers enormous growth potential.

On the AUCTUS side, the TERRAS Group is supervised by Dr. Daniel Meuthen and Marvin Aurnhammer.

More information about the group at: www.terras-tiefbau.group