Wed, 09 Jun 2021 | ADMINISTRATION
Merseyside highways and utility contractor Vital Infrastructure Asset Management (VIAM) has announced that it has fallen into administration.
The firm, which traded as King Construction until two months ago, has recently rebranded following significant growth over the past three years and now employs 300 staff.
The company has revealed that it has appointed Daniel Smith and Clare Boardman, senior managing directors at Teneo Restructuring, as administrators.
According to the administrators, VIAM's trading performance has been impacted by a number of disputes with customers, as well as the impact of the COVID-19 pandemic.
These issues have reportedly resulted in severe liquidity pressure, which has led to unrecoverable financial difficulties.
Commenting on the announcement, Mr Smith stated that it was unfortunate that the company's rebranding had not been enough to help the business negotiate the difficulties faced by the firm - and the industry as a whole - in the past 12 months.
"This is unfortunately a very challenging period for the group's stakeholders, and in particular its employees," said Smith. "Despite the best efforts of the directors, the group was unable to generate the cash needed to sustain its trading operations.
"Our immediate focus is on supporting the group's employees to ensure all relevant claims are submitted as promptly as possible."
Based in Speke, the civil engineering firm went through a change in ownership in December 2019 when four of its directors and managing director Dave Prescott secured an £11.6 million management buyout from previous owner Mark Doyle.
Since this changeover, the firm has secured long term framework contracts with Liverpool City Council and United Utilities that have seen the company's annual turnover jump from £20 million to £55 million.
Read more about how issues facing the UK's construction sector could spur dealmaking opportunities.
View the latest distressed UK businesses here.
Highly experienced team in place, with a suitable candidate to fill an upper-level management position, if required. Serves a large regional client base, with clients operating in industry sectors including education, healthcare and facilities.
Very sensibly priced for genuine Limited Company sale after many years, all equipment plus business management systems included.
This independent roofing contractors benefits from impressive accreditations, and a convenient commercial location.
24
|
Apr
|
Middlesbrough metal recycling firm acquired from administration | BUSINESS SALE
Cupral Group Limited, a metal recycling business based in Mi...
24
|
Apr
|
Automotive parts supplier secures PE backing | BUSINESS SALE
Rimmer Bros, a Lincoln-based restorer and supplier of replac...
24
|
Apr
|
Kitchen firm expands construction sector offering with new acquisition | BUSINESS SALE
Nolte Kitchens UK has completed the acquisition of contracts...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
We can help you capitalise on insolvent businesses. We list UK businesses in administration, liquidation and with winding up petitions daily. Ensuring our members never miss out on an opportunity
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.