Fru-Con, which is based in Virginia, turns over £49m and was acquired from German contracting group Bilfinger Berger.

The deal provides Balfour Beatty’s US operation with a springboard into the mid-Atlantic and California water civil engineering markets, as well as other regions including the Carolinas, Georgia, Florida and Texas.

Balfour Beatty chief executive, Ian Tyler, said: “The acquisition of Fru-Con is a significant step in enhancing our capabilities in the attractive US water market.”