John Paul Construction, one of the Republic's largest building contractors, has been acquired by its six executive directors. The company, which has been family owned since it was established in 1949, declined to place a value on the management buyout but industry sources say it is worth approximately €20 million.

Last year the company recorded a turnover of €154 million, a €50 million increase on 2000. According to the most recent available audited accounts, it returned a €1.9 million operating profit in 2000.

John Paul Construction employs 1,500, including 170 administrative staff at its headquarters in Dundrum Business Park, south Dublin.

Commercial director Mr Ray Mescal said the buyout would not affect the day-to-day running of the business. There were no plans to cut jobs and reduce overheads. The new owners are satisfied that the company is strongly placed and does not require rationalisation.

John Paul Construction has overseen the construction of a number of recent high-profile projects, including Tallaght hospital, the Dublin City University research building, the Quinn School of Business in UCD and the Beacon Court office development in Sandyford, south Dublin.

It has also been heavily involved in construction for the mining industry in Ireland, building both underground and above ground at the Arcon site in Galmoy, Co Kilkenny as well as Tara Mines in Meath and Silvermines in Co Tipperary.

The six directors involved in the buyout are: managing director Mr Donal O'Brien; finance director Mr Ray Meskal; company secretary, Mr Connor O'Donnell; contracts directors Mr Eamon Booth and Mr Donal Winters; and surveying director Mr Fergus McKenna.

The two shareholders, Mr John Paul and Mr John Simington, whose families founded the company, will stay on as non-executive directors.

The vendors were advised by KPMG. The buyers were represented by Origin Corporate Finance. The transfer of ownership takes immediate effect.

Mr Mescal said the future prospects of the company were buoyant. "Our attitude is that 'if it ain't broke, don't fix it'. Things are running smoothly and we are happy with profits levels. We see no need to shake things up.

"We have assured employees that there will be no major changes in the way the business is run."

The death last year of a builder on the site of a John Paul Construction contractor in Dublin's docklands prompted a day of protest by construction workers.