Firm employed 100 people and was working with 100 subcontractors when it went into administration

money cash

Kent-based Cardy Construction entered administration in August owing over £14m to its creditors, it has been revealed.

However, administrators RSM Restructuring Advisory have since had a further flurry of claims taking the total amount to over £18m.

In documents lodged at Companies House the administrators report that at the time of the company’s collapse it had 13 live contracts ranging in value from a few thousand up  to £25m. The majority of these were design and build contracts for clients including Rolls-Royce.

Cardy suffered cash flow issues due to various arbitration claims totalling £3m. These claims resulted in the firm being no longer able to pay its debts when they fell due, which in turn led to it appointing administrators, according to the report.

The month before entering administration, Cardy’s directors flew to Ireland to meet with a third party who they had previously been in discussions with over a potential merger or purchase of the construction business. But these discussions did not “result in anything concrete,” the administrators said.

Cardy Construction employed around 100 people at the time it entered administration.