Keenan saves 54 job as FK Group falls into administration | Construction Enquirer News
Summary
Keenan Holdings has acquired 54 jobs from FK Group, which fell into administration due to market pressures. The restructuring aims to maintain continuity on key contracts.
Why It Matters
This development highlights the ongoing challenges faced by construction firms in a volatile market. The transfer of jobs and contracts to Keenan Holdings demonstrates a proactive approach to preserving employment and project continuity amidst financial difficulties.
Key Takeaways
- FK Group entered administration due to inflation and market challenges.
- 54 employees were saved through acquisition by Keenan Holdings.
- Continuity on major contracts with clients like McLaren and Domis is secured.
- FK Resolv, a subsidiary, continues to operate unaffected.
- The restructuring aims to optimize outcomes for creditors and stakeholders.
Administrators from BTG Begbies Traynor were appointed over FK Group – comprising FK Group, FK Facades and FK Construction – last Friday after the business was hit by sustained inflationary pressures and wider market challenges. In the run up to the appointment of administrators to the Altrincham business, 57 redundancies were made. A further 54 employees have transferred to Keenan Holdings in a restructuring along with former FK live contracts. The deal secures continuity on major schemes for clients McLaren and Domis in London and Manchester, with the novated construction contracts now to be delivered under the Keenan banner. Keenan Holdings acts as the standalone holding company for Premo, which produces high-quality architectural fabrications. The business is owned by Deborah Keenan, daughter of FK Group founder Francis Keenan. FK Resolv, the FK group’s building safety and remediation contractor, avoided administration and continues to trade. Joint administrators David Hopkins and Paul Stanley from BTG Begbies Traynor are overseeing the restructuring and sale of assets. David Hopkins, Partner at BTG, said: “This is a significant restructuring of the group’s assets and operations. The directors of the group explored a number of avenues prior to this decision and established that this was the best route forward for all stakeholders, creditors and the future of the group. “As part of this restructuring process we will be focused on delivering the best outcome for all cred...