Construction firm Baggaley calls in KPMG administrators

Administrators to Herbert Baggaley Construction Ltd and Baggaley Group Ltd, KPMG, have announced 83 redundancies at the Mansfield-based company.

The group employed 104 people and worked on a wide range of public and private sector construction contracts.

Chris Pole, joint administrator and restructuring director at KPMG, said: 'Unfortunately the business has been under financial stress for some time due to a number of loss-making contracts and the continuing difficulties experienced in the construction sector. Despite a management buy-out last year and efforts to restructure and refinance, this difficult position has been compounded by ongoing losses and unsustainable cash flow pressure.'

The remaining 21 staff are assisting the administrators while they conduct a review of existing contracts and explore a possible sale of the remaining business.

Pat Sweet |Reporter, Accountancy Daily [2010-2021]

Pat Sweet was the former online reporter at Accountancy Daily and contributor to the monthly Accountancy magazine, pub...

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