KPMG confirms appointment as administrators to Connaught

KPMG have been made administrators of building group Connaught plc, the firm confirmed today.

Richard Heis, Richard Hill and Richard Fleming have been made joint administrators. A statement from the firm said they hoped to trade the business in the short term with a view to selling. they said they hoped the "majority" of staff will be transferred to new companies.

Heis said: "Following the group's recent trading statements a substantial review of the group's businesses and cash flows was carried out by the board and its advisers. Notwithstanding the group's bankers providing an additional £15m overdraft (announced on 29th July) it becmae clear that the Partnerships business was no longer sustainable and had a substantial cash requirement significantly beyond its available lending facilities. The directors therefore have placed Connaught plc and connaught Partnerships and one smaller company into administration."

Heis said separate companies Connaught Compliance and Connaught Environment would continue to trade as normal under their directors.

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