Administrator says lack of cash investment from TTC Ventures caused firm’s collapse
Leading modular contractor Britspace fell into administration because the venture capital firm that acquired it just two months ago did not stump up a promised cash investment.
Administrator FRP Advisory - which was appointed a week last Monday - said it will now have to make between 180 to 190 staff redundant at the 200-strong firm after a search for a buyer proved unsuccessful.
David Thornhill, lead administrator at FRP, confirmed that US-based venture capitalist TTC Ventures bought the £42m turnover firm in June but failed to make further investment after acquiring the firm.
Thornhill said: “The level of investment that was agreed did not materialise and as a result the company went into administration.”
Last week nine firms met with Thornhill to discuss acquiring Britspace - following 31 expressions of interest - but a satisfactory bid was not forthcoming.
Thornhill said: “We weren’t able to get over the line. Britspace was a strong business, with a good reputation and motivated staff. That is still my view.”
Britspace managing director David Harris said at the time of the TTC takeover: “They have acquired Britspace as they believe it is in a sector destined to grow and well positioned to address the opportunity that this presents.”