Sources close to the deal said that the firm had pushed ahead of Carillion and Spanish outfit FCC for the contract to build the home for the cycling events on the Stratford Olympic site, with the Olympic Delivery Authority on the verge of rubberstamping the agreement.
A bid source said: “It has been a long old slog for this one but ISG now has the upper hand. Carillion’s name had been mooted as the favourite earlier this year but it was pretty close all the way through. ISG only got away from its rivals in the last few days.”
Bids from Wates, Shepherd and Alfred McAlpine were dropped earlier in the competition leaving the trio to fight it out for the deal.
The decision to plump for ISG means that the ODA has placed all of the building contracts for the so-called “big four” 2012 building projects with homegrown firms.
ISG already has experience of velodrome work, having carried out a refurbishment last summer of the Manchester Velodrome that featured in the 2002 Commonwealth Games.
Work on the 2012 velodrome is not expected to start until next year and will be completed in early 2011 in time for ramp up events to prepare it for the main games.
Last July a panel including Athens Olympic gold medallist Chris Hoy selected a consortium of architects including Hopkins, Expedition Engineering, BDSP and Grant Associates to design the scheme, which features 12,000 seats - 6,000 of which will remain in the buildings legacy use at the end of the Games.
Preliminary work is already under way on site to create a platform that ISG can move onto to start building work.
The same site will also host a BMX course after the sport was chosen to become an Olympic event, debuting at this summer’s 2008 Beijing games.
The london 2012 winners
The award of the velodrome contract to ISG completes a clean sweep of contracts for British firms working on the main venues for the 2012 Games.
Sir Robert McAlpine has the main stadium contract – which begins later this month – while Balfour Beatty has the equally prestigious aquatics centre deal.
Carillion has the media centre contract while Dean & Dyball, now owned by Balfour Beatty, has won work on the sailing centre in Dorset.
Nuttall and Morrison are close to completing the remediation contract with Nuttall, along with Balfour Beatty and Skanska, winning roads and bridges contracts.
Anglo-Australian firm Bovis Lend Lease has been contracted to build the athletes village – to be turned in to housing in legacy mode – which will be the last of the main projects to complete when it is finished in early 2012.