Six ISG companies have filed notices of intent to appoint administrators: ISG Construction Limited, ISG Engineering Services Limited, ISG Retail Limited, ISG UK Retail Limited, ISG Jackson Limited and ISG Central Services Limited.
All six are subsidiaries of ISG Limited.
The move comes after months of speculation about the company and the collapse of an expected sale of the business.
Reports as to why the sale failed vary but essentially it seems that the costs of refinancing ISG were beyond what the prospective new buyer was willing or able to stump up.
Rumours have been circulating for months, reaching a crescendo this week with subcontractors downing tools and walking off site as they have not been paid for several months.
ISG Limited has not filed accounts for 2023 yet. Its 2022 accounts showed an £11.5m pre-tax profit on £2.2bn revenue, with more than 3,000 employees. It has, however, been suffering with significant liquidity issues more recently.
ISG will be construction’s biggest collapse since Carillion.
ISG, originally Interior Services Group, has been owned by Cathexis since 2016 when it de-listed from the London Stock Exchange. Cathexis is the investment vehicle of 38-year-old Texan oil tycoon William Harrison.
ISG has been asked to comment.
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