Rok board puts firm into administration
Social housing contractor Rok will be put into administration, the company has this morning announced.
In a stock exchange announcement, the repairs and maintenance contractor said: ‘The board of Rok PLC announces that it has resolved to put the company into administration and to make an application to the Financial Services Authority to suspend the listing and trading of the company’s ordinary shares on the stock exchange.
‘It is anticipated that the administration and suspension will become effective shortly.’
Further details of the administration will be revealed ‘in due course’, the statement said.
The FSA issued a statement shortly after the announcement confirming it has suspended trading of Rok shares.
The administration comes just two months after the collapse of rival firm Connaught.
Rok announced in August that its operating profit had halved to £4.5 million and its revenues dropped by £56.4 million. The company blamed problems on a lack of financial control in its plumbing, heating and electrical division and suspended finance director Ashley Martin.
The company has also denied speculation in the sector that ‘suicide-bidding’, where low bids are submitted to win contracts, was behind the firm’s troubles.