City File: Tilbury Douglas

WATCH out for news that Tilbury Douglas, the construction group, is to become a rail operator. Tilbury and AEG, the German engineer, have put in a joint pounds 121m tender to build and run a rail line between Birmingham and Wolverhampton.

Eurotransit, their joint venture company, is negotiating with transport authorities in the West Midlands, after Taylor Woodrow pulled out of the project. In April, Michael Bottjer, Tilbury's chief executive, declared his intention to focus on niche construction businesses, a strategy that has impressed investors. Shares, 433p earlier this year, are now 600p.