Housing association specialist The McDougall Group delivers services to over 20,000 households and tenants from its three offices across the Central Belt.

Expanding the reach of Dundee-headquartered McGill, the deal will see all 65 highly skilled employees remain in position and provide in-demand labour to the business.

McGill managing director Errol Lawrie said: “Today is a great day, not just McGill, but also The McDougall Group, as we combine to strengthen our position as one of the top contractors in Scotland. To complete this acquisition, the first in the forty-year history of McGill, is incredible and demonstrates our ambitions for the company. I want to thank the team at United Capital, our parent company, for providing support to get this deal done.

“We have demonstrated fast, but sustainable growth over the past 12 months and continue to win work across the country. This acquisition is strategic in that it adds to our existing broad scope of services and extends our geographic reach. I want to take the opportunity to welcome our new colleagues at this exciting time.”

David Robbie, managing director of The McDougall Group, said: “McGill are a well-respected name in the industry, and we have been impressed by the progress of the business over the past few years. Joining a company like McGill will support the future of our team and allow us to continue offering exceptional service to the social housing market across Scotland.”

Graeme Carling, CEO of McGill’s parent company, United Capital, added: “This is a great step for McGill, who have continued their steady growth over the past 18 months. United Capital are committed to support our group companies and we are proud to help Errol and his team complete the acquisition of such a quality business. I extend my welcome to the team at The McDougall Group.”

The announcement comes as McGill was awarded a £10.8 million kitchen and bathroom replacement framework contract with a consortium of housing associations in the north east of Scotland, following a competitive public tender process.

The contract, a joint procurement effort of Angus, Castlehill, Langstane and Osprey housing associations, will see McGill complete a planned programme of kitchen and bathroom replacement works over the next four years.

It also extends the relationship that the business has with both Castlehill and Langstane Housing Associations, for whom McGill has worked for a number of years.

MD Errol Lawrie said: “McGill continues to have a great year, having already picked up several new, multi-million-pound contracts. Our teams are highly experienced in this type of work and I am excited to get started and deliver great work for the four housing associations involved.”

McGill commercial director, Douglas Smith, added: “I am delighted to have been awarded this contract and give full credit to our team. From our estimating and business development team, through to the operatives who continue to build our reputation in the industry, everyone should be proud of this. We are looking forward to extending our long-standing relationships with the housing associations and continuing the growth of the business.

“We will recruit a few people to support delivery of this, and other existing contracts. It’s always good to grow the team and we will look to the local talent pool to do so.”

Elsewhere, McGill has also been awarded an ongoing multi-trade contract to refurbish void properties from new client Falkirk Council.

The contract, which will see McGill’s Trades Division refurbish hundreds of void properties owned by Falkirk Council, will be worth up to £900,000 per year.