Attempt to achieve solvent restructuring abandoned but deal to sell subsidiaries will save 1,000 jobs
Concrete group Ennstone has gone into administration and sold its main UK and Polish subsidiaries.
The board said that the sale, to UK Barclays Ventures-backed Breedon Holdings in a pre-packed deal, would save 1,000 jobs in Europe.
Nick Dargan and Matthew Cowlishaw of Deloitte were today appointed joint administrators of the building materials firm.
A statement said the group had explored a range of options over the past eight months, including consideration of an offer to buy the group's shares.
The firm withdrew its shares from the stock market at the end of January as it tried to sort out its financial position. The £237m-turnover company had debts of £200m.
Despite the support of the group's UK banking syndicate, the deteriorating market conditions have resulted in the group being unable to achieve a solvent restructuring of Ennstone plc, said Deloitte.
Shareholders are not expected to see a return on the sale, it said.