The specialist mechanical, electrical, instrumentation, control and automation design and build contractor employs nearly 100 staff.

Established in 1972, AVRS holds long term frameworks with key water sector clients as well as the Coal Authority and MoD.

Last year AVRS generated revenue of £7.9m and profit before tax of £1.3m. The gross assets of AVRS were £3.8m.

Its operations are very closely aligned to Galliford Try’s existing business.

In the energy sector, AVRS has long term client relationships providing in-house design, supply, installation and commissioning of MEICA.

Bill Hocking, chief executive of Galliford Try, said that AVRS’ capabilities were complementary to the operations of Galliford Try’s expanding Environment business and would accelerate the growth of its asset optimisation and capital maintenance strategy.

“We have said that we will continue to consider bolt-on acquisitions to accelerate our strategy and this acquisition increases our capabilities in the Environment business and bolsters the Group’s capital maintenance credentials.

“AVRS brings highly complementary skills into the Group which will further advance our Sustainable Growth Strategy.”

The initial acquisition consideration of £4.5m will be financed from Galliford Try’s existing cash resources.