Grant Thornton appointed as Dawnus administrator
Grant Thornton has been appointed as administrator of Dawnus Group, after workers were called to meetings and sent home from sites yesterday.
The businesses affected by the administration are:
- Dawnus Group Limited
- Dawnus Construction Holdings Limited
- Dawnus Developments Limited
- Dawnus Southern Limited
- Churchfield Homes Limited
- Dawnus Limited
- Quantum Geotechnical Limited
- Ashbridge Construction Limited
- Legsun Limited
Dawnus’s international operations, Dawnus International Limited, Dawnus Sierra Leone Limited and Dawnus Liberia Limited are not affected.
Grant Thornton said the financial difficulties at the firm, which employs 700 people across six offices and 44 sites, stemmed “primarily from the downturn in the construction industry”.
Alistair Wardell, restructuring partner at Grant Thornton UK said: “The Dawnus Group has struggled with a wide variety of challenges and despite significant efforts to turn the business around, unfortunately it has not been possible to rescue the group. As a consequence, the future cash flows has meant that the business was not in a position to continue to operate, including completing existing work in progress.”
“Whilst the financial difficulties of the group were not a consequence of Brexit, there is no doubt that Brexit uncertainty impacted the ability to rescue the business.”
He added: “Our priority is to work with management to ensure that any impact on customers, employees and creditors, including subcontractors, is minimised. That process is at its early stages and key employees continue to be retained to support the required procedures.”