All 49 staff at the firm lose their jobs as drywall firm goes into administration
London-based Malden Drywall has fallen into administration leaving 49 staff jobless.
The firm fell into administration due to cash flow problems caused by delays in the start of projects.
It appointed accountancy firm BDO as administrator last Thursday (8 May) and all its 49 staff were made redundant on Friday.
Tony Nygate, BDO business restructuring partner, said: “The unprecedented wet winter conditions last year delayed many building projects, leading to cashflow issues for Malden Drywall PLC and a deterioration in its working capital position.
“Unfortunately, the company was left with no other option but to enter administration.
“The joint administrators are taking all necessary steps to mitigate losses to customers and, going forward, will seek to maximise recoveries for the benefit of all creditors.”
The firm, which is one of the core businesses of the Malden Group, tuned over £19m in the year to 31 March 2013, down from £23m the previous year.
It reported a pre-tax profit of £102,869 in the 2013 tax year, only slightly down from £119,236 the year before.
The family run Malden Group was established in 1969 and progressively expanded from its original plastering work to do drywall work, rendering, and painting and decorating.
It also launched a facades and fascias business in 2009.