Steven Wiseglass, a director at Manchester-based Inquesta Corporate Recovery & Insolvency, and Joanne Hammond, a partner in the Sheffield office of Begbies Traynor, were appointed as joint administrators of YPP Groundworks & Civils Ltd earlier this month.
The business, which is based in Otley, has been acquired by Yorkshire Pro Paving Limited.
Both companies are owned by Tom and Kylie Armitage.
YPP Groundworks & Civils Limited was originally set up in 2012 by Tom Armitage under the name Yorkshire Pro-Paving. The business name changed to Yorkshire Pro Paving & Groundworks Limited in 2014, to reflect the company’s widening areas of activity. The company undertook another name change in April 2022 to YPP Groundworks & Civils. Yorkshire Pro-Paving was never wound up as a legal entity, however.
In the year to March 2022 YPP generated turnover of £5.7m. However, it experienced pressure on its cashflow due to a large contract being impacted by the pandemic alongside rising material prices, and swung to a loss.
Joint administrator Steven Wiseglass said that there was no prospect of securing new funding for the business.
He added: “Following our appointment, a number of expressions of interest were made to acquire the business, but only one acceptable offer was received. The company has a proven track record across the Yorkshire region and a skilled workforce. The sale represents a better outcome than the alternative of placing the business in liquidation, as it safeguards the jobs of its employees and its existing contracts.”
Got a story? Email news@theconstructionindex.co.uk
