Carillion shares slump as lenders 'reject survival plan'

 

Shares in struggling infrastructure firm Carillion fell sharply on Friday following reports that lenders had rejected its survival plan and that it had lined up a possible administrator.

The firm is a major contractor in road and rail projects, including HS2 and if it were to collapse it would have major implications across the public sector.

”Local

The Telegraph reported on Friday afternoon that shares had at one point fallen by more than 35% on the news and were down 20.5% over the day.

The firm held talks with its lenders on Wednesday, presenting its business plan in a bid to agree a new refinancing deal.

Quoting a Press Association report, the Telegraph said Carillion's lenders had rejected the plan because it did not present enough of a restructuring plan for the business.

Sky News reported that Carillion had put accountancy firm EY on standby to oversee an administration if it is unable to achieve this.

It was also reported that a meeting with The Pensions Regulator was taking place on Friday to shore up the future of Carillion’s pension scheme, whose deficit is said to stand at around £580m.

A spokesman for The Pensions Regulator said: ‘We have been and remain closely involved in discussions with Carillion and the trustees of the pension schemes as this situation has unfolded.’

The firm announced last week that is being investigated by the Financial Conduct Authority (FCA) in connection with statements it made prior a profit warning and the removal of its then chief executive last year.

In a separate statement before Christmas, Carillion announced that Andrew Davies would take up the permanent role of chief executive with effect from 22 January. He had been due to start in April.

 

Also see

Register now for full access


Register just once to get unrestricted, real-time coverage of the issues and challenges facing UK transport and highways engineers.

Full website content includes the latest news, exclusive commentary from leading industry figures and detailed topical analysis of the highways, transportation, environment and place-shaping sectors. Use the link below to register your details for full, free access.

Already a registered? Login

 
comments powered by Disqus
 
 
highways jobs

Chief Executive

Luton Borough Council
Luton Borough Council
Recuriter: Luton Borough Council

Public Realm & Planning Team Manager

Camden London Borough Council
Up to £53,702
This is an exciting time for Camden’s Transport Strategy service! Camden, London (Greater)
Recuriter: Camden London Borough Council

Food Safety Environmental Health Officer

Camden London Borough Council
£35,913 - £41,657
As an Environmental Health Officer within Environmental Health, Business and Consumer Services... Camden, London (Greater)
Recuriter: Camden London Borough Council

Street Works Technical Officer

London Borough of Bexley
£20,667 - £24.999
We need a strong team player to assist the departments Street Works Team. Bexleyheath, London (Greater)
Recuriter: London Borough of Bexley

Food Safety Environmental Health Officer

Camden London Borough Council
£35,913 - £41,657
As an Environmental Health Officer within Environmental Health, Business and Consumer Services your focus will be food safety issues. Camden, London (Greater)
Recuriter: Camden London Borough Council

Project Manager and Research Officer

London Councils
£34,390 p.a.
Looking for a highly motivated, dynamic, enthusiastic and hardworking individual. London (Greater)
Recuriter: London Councils

Senior Development Engineer

Bristol City Council
£27,358 - £33,136
Bristol is an exciting, and culturally thriving Regional Capital City of Bristol
Recuriter: Bristol City Council

Executive Director Place & Economy

Peterborough City & Cambridgeshire County Councils
Competitive salary
The opportunity to combine major services across a city and a county to contribute to the delivery of future growth and Infrastructure Cambridgeshire
Recuriter: Peterborough City & Cambridgeshire County Councils

Head of Culture & Place

The Royal Borough of Kensington & Chelsea Council
up to £78,800 plus PRP
This could not be a more important time to join Kensington and Chelsea Kensington and Chelsea, London (Greater)
Recuriter: The Royal Borough of Kensington & Chelsea Council

Director for Cleaner, Greener & Cultural Services

The Royal Borough of Kensington & Chelsea Council
up to £103,500 plus PRP
This could not be a more important time to join Kensington and Chelsea Kensington and Chelsea, London (Greater)
Recuriter: The Royal Borough of Kensington & Chelsea Council

Director for Public Protection

The Royal Borough of Kensington & Chelsea Council
up to £103,500 plus PRP
This could not be a more important time to join Kensington and Chelsea Kensington and Chelsea, London (Greater)
Recuriter: The Royal Borough of Kensington & Chelsea Council

Head of Democratic Services

Ealing London Borough Council
£58,650.00 - £61,737.00
Ealing is an exciting place to live and work, and local democracy is at the heart of its success. Ealing, London (Greater)
Recuriter: Ealing London Borough Council

Director of Development and Environment

North Somerset Council
circa £125,000 p.a.
We are looking for an experienced and enthusiastic individual to maintain momentum on delivery of our regeneration and placemaking aspirations Somerset
Recuriter: North Somerset Council

Development Officer/Senior Development Officer

Solihull Metropolitan Borough Council
£28,221 - £35,229 / £33,136 - £41,846
Seeking an individual to lead on all aspects of Highways advice to a busy Development Management team Solihull, West Midlands
Recuriter: Solihull Metropolitan Borough Council

Highways Asset & Maintenance Manager

Brighton & Hove City Council
£42,806 - £46,326
Looking to recruit a new Highways Asset and Maintenance Manager Brighton, East Sussex
Recuriter: Brighton & Hove City Council

Commercial Manager

Leicester City Council
£41,846 - £44,697
Seeking for a Comercial Manager to work for the Leicester City Council. Leicester, Leicestershire
Recuriter: Leicester City Council

Senior Highways Development Engineer

Leeds City Council
£37,107 - £39,961
Seeking to appoint an experienced highways engineer or transport planner. Leeds, West Yorkshire
Recuriter: Leeds City Council

Trainee Deputy Editor of Bridge Design & Engineering

Bridge Design & Engineering
£24,000-26,000
Bd&e is looking for a structural or civil engineering graduate with a passion for bridges. Dorset
Recuriter: Bridge Design & Engineering

Strategic Transport Project Development Officer

Hull City Council
£36.153 - £39.002
Would you like to work in the successful UK City of Culture? Kingston upon Hull, East Riding of Yorkshire
Recuriter: Hull City Council

Project Lead

Hull City Council
£45.181 - £48.563
Would you like to work in the successful UK City of Culture? Kingston upon Hull, East Riding of Yorkshire
Recuriter: Hull City Council