Speedclad, the £19m-sales façade, glazing and curtain wall contractor, has gone into administration – along with a warning from administrators that other similar companies may also be vulnerable.
The company had faced many of the current economic challenges including materials price rises, labour shortages and abandoned projects, according to administrators, but also its working capital was hit hard when one of its major contracts became loss-making.
James Lumb and Howard Smith from Interpath Advisory have been appointed Joint Administrators. James Lumb said: “The administration of Speedclad is symptomatic of the growing challenges facing the construction sector, particularly cladding and facades businesses.
“Speedclad is historically profitable and has delivered notable projects such as the facades at the Wellington Place office development in Leeds. The company is a well-respected business with strong goodwill in the market from customers, suppliers and other stakeholders. Whilst we are hopeful of finding a solution for Speedclad, its administration suggests that other strong businesses could be facing similar challenges.”
The company has its head office in Northallerton, with a regional site in Doncaster. Most of the 44 members of staff have been made redundant, with a small number retained to assist with the administration. The administrators are looking to a number of options including seeking a buyer for the business, its assets and intellectual property.
Details: Faith Elenga, 0113 521 7519
