Contractor secures funds after cash plea
Troubled maintenance firm Connaught has agreed a £15 million overdraft with its lenders.
The company, which issued a statement on Monday saying its was in talks with its banks and urgently needed cash, said it had agreed the terms of the short-term overdraft, which is available immediately. It also said it had agreed to defer payments on its existing borrowing facilities in July and August. The overdraft is in addition to its current borrowing facilities of £200.6 million.
The firm will talk to its lenders about restructuring its finances in the longer term.
Connaught’s chair, Sir Roy Gardner, said: ‘We are delighted by this tangible evidence of support from our lenders. We will now seek to put in place arrangements which will leave Connaught on a more secure footing for the longer term.’
The firm has a large number of contracts with social landlords to provide maintenance and decent homes work.
