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Construction legends: How Ray O’Rourke built a £4bn business

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The Laing O’Rourke construction company of today began life as R. O’Rourke & Son, a modestly sized, regionally based specialist concrete subcontractor, based in East London, founded by Ray O’Rourke and his brother, Des, in 1978. 

Ray O'Rourke. Credit: Laing O'Rourke.

Raymond “Ray” Gabriel O’Rourke had been born in County Leitrim, in Ireland, in 1947. His brother, Des, three years later. Raised in Corraleehan, near Ballinamore, Ray reportedly started his working life as a “pony boy” (a child labourer who leads a pit pony), carrying muck from under the city of London when the Victoria Line was still under construction. 

In September 2001, the R. O’Rourke business made a successful bid of just £1 for main contractor, Laing Construction, buying the operation from John Laing plc, which at the time had been struggling with costs on several major projects, including the Millennium Stadium in Cardiff, and at last, the Laing O’Rourke (LOR) name was born. Ray would also go on to purchase Swift Structures, a construction company owned by brothers-in-law, Jim and Matt Halligan, building out his business. 

Business continued and LOR grew still, when in 2004, the contractor also snapped up Mechanical and Electrical (M&E) engineering company, Crown House Engineering, from British construction giant, Carillion, before expanding further two years later with the acquisition of the now defunct Australian construction business, Barclay Mowlem, also from Carillion, until finally, in 2015, Laing O’Rourke became a member of the Housing and Finance Institute. It was in December that year that Ray, then the company’s executive chairman, would assume the role of chief executive officer (CEO) of Laing O’Rourke when Anna Stewart resigned from the post due to ill health.  

Two years later, in 2017, LOR’s Australian business was refinanced following an initial sale process attempted a year earlier, largely motivated by the company’s desire to focus greater investment on its UK operations, as well as the performance of a PFI hospital contract in Canada. At the time, the contracting business employed more than 8,530 people, more than half of the group’s then 15,273 total workforce. 

Following a long and difficult period of turbulent trading in the construction sector after the collapse of Carillion in 2018, which had impacted many contractors in the industry, including Laing O’Rourke, the contractor closed a refinancing agreement concerning its UK operations in January 2019.  

(L-R) current CEO and Ray's son, Cathal O'Rourke, and Ray’s brother, Des.

The summer of 2024 was a transitional period for Laing O’Rourke when, a year after he was appointed chief operating officer (COO), Ray’s son, Cathal O’Rourke, was named CEO of the contracting business when his father announced his decision to step down after five decades at the helm. A civil engineering graduate, Cathal had spent more than a decade managing the Australian arm of the business before he was made COO. He also served as president of the Australian Constructors’ Association (ACA) and supported both the Construction Industry Leadership Forum and Construction Industry Culture Taskforce. At the time, Ray said: “Cathal has enjoyed a successful career in our family business, spanning a quarter of a century and I have every confidence he will continue to lead our people well into the future, upholding the values and guiding principles that have been the foundation of our success.”   

One month later, however, tragedy struck, when Ray’s brother, Des, passed away at age 75, following a short period of illness. The O’Rourke family released a statement at the time saying the co-founder and deputy chairman had passed away surrounded by his immediate and extended family, adding: “May Des rest in peace.” 

Today, Laing O’Rourke is one of the largest privately-owned construction companies in the UK, active across a range of sectors in its two primary geographic regions of Europe and Australia, and delivering projects in building construction, infrastructure construction, investment and development, modular manufacturing, engineering, and support services markets. Chief among its major projects is the new stadium at Bramley-Moore Dock for Everton Football Club, the HS2 Interchange station in Solihull, and Hinkley Point C nuclear power station in Somerset. 

The business recently returned to profit, delivering a more than 18 per cent increase in revenue of £4 billion, supported by an orderbook value of £10.8 billion, the largest it has ever been, as well as a strong financial performance from the Australian business. 

Ray, now 77 years old, has during his long career been awarded honorary doctorates from the Dublin Institute of Technology, and Queen’s University, Belfast, and in 2011, he was made an Honorary Knight Commander of the Order of the British Empire (KBE). When he announced his decision to step down as CEO in June, there was an outpouring of praise from his industry colleagues for his years of service, with some dubbing him a “true visionary” as well as an “inspirational leader to many”. 

In a recent trading update, group chief executive, Cathal O’Rourke, said: “There remains much for us to do to unlock the full potential of our business and transform the industry so that it can deliver the buildings and infrastructure governments in the UK and Australia need to keep their countries secure, make the energy transition and protect the health of their citizens. We have the people, experience and technologies to deliver these essential works in a better way, and that makes us excited about the future.” 

Was this interesting? Try: From organ transplants to rocketing revenues – how two brothers built Oliver Connell & Son 

If you have a tip or story idea that fits with our publication, please contact the news editor rory@wavenews.co.uk 

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