The company, headquartered in Ireland but with substantial business across mainland UK, ran out of cash and attempts to find a buyer failed.
According to the Irish Independent newspaper, Roadbridge owed the Bank of Ireland €35m and had previously appointed IBI Corporate Finance to find a buyer or investor.
"It is with great regret that, as a result of insurmountable financial challenges, the board of Roadbridge Holdings Ltd announces that it has requested Bank of Ireland to appoint receivers to the company," the company said on Friday 11th March.
Roadbridge chairman Aidan Murphy said: “We have been working tirelessly for the last number of months to find a solution to the grave challenges faced by the company. My fellow directors and I greatly regret having to take this step, but unfortunately, it was the only possible option at this time. The board recognise the support of all our stakeholders, including our bank, Bank of Ireland, in difficult circumstances as the directors explored every opportunity to save the company. We are committed to working closely with the receivers now in order to get the best possible outcome for employees, creditors and stakeholders.”
Stephen Tennant and Nicholas O'Dwyer of Grant Thornton have been appointed receivers of Roadbridge Holdings Ltd in the Republic of Ireland, Nigel Morrison, Stuart Preston and Philip Stephenson, all partners of Grant Thornton UK LLP, have been appointed joint administrators of Roadbridge UK Limited, which is based in Welwyn Garden City.
Roadbridge UK turned over £96m in 2020 (2019: £63m) and made a pre-tax profit of £389,000 (2019: £280,000) thanks to projects including Chalfont St Peter vent shaft enabling works for the Align JV on HS2.
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Roadbridge is, or was, also part of the Future Valleys Construction consortium with FCC, Meridiam, Alun Griffiths and Atkins, which has a £450m contract to widen an 11 mile stretch of the A465 Heads of the Valley between Dowlais Top and Hirwain, in the Merthyr Tydfl area.
Rob Parker, director at Grant Thornton UK LLP, said: “It is very disappointing that efforts to save the company and other companies within the RBL group from insolvency were not successful and our efforts now turn to supporting the company’s employees during this difficult time and seeking to maximise asset realisations for the benefit of the company’s creditors.
“We are currently assessing whether it is possible to salvage some or all of the business and invite any interested parties to get in touch with the joint administrations, however operations have temporarily ceased, whilst we explore the options available”.
In the UK, the company had approximately 215 employees, but shortly following the appointment of administrators the majority have been sent home, pending further updates while a strategy for the administration is reviewed.
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