Mark Whitehead 03 December 2018

Kier sees shares plummet by 33% after £264m rights issue

Construction giant Kier is the latest outsourcing company to raise fears after its share price bombed 33% on Friday.

It followed the announcement by the company - which lists local government among its major sectors - of plans to raise £264m to reduce its debt.

Chief executive, Haydn Mursell, said the cash injection had 'completely de-risked' the firm.

He told Building magazine that suppliers should 'look at us and see that we’re now a much stronger business. We’ve removed the shadow created by our debt position.'

The latest uncertainty follows the collapse of construction company Carillion early this year with debts of £1.5bn, leaving many local authorities to find other providers.

Last month the Government ordered outsourcing companies to draw up 'living wills' setting out how services would continue to be provided if they collapsed amid concerns over the weakness of several major firms including Capita and Interserve.

The firm’s lenders include Santander which is understood to have lost £200m on Carillion following its collapse.

Devolution and putting place first image

Devolution and putting place first

The real lesson of Andy Burnham's Makerfield success, argues Dr Jonathan Carr-West, is that place – not personality – is the key to Britain's future.
SIGN UP
For your free daily news bulletin
Highways jobs

Senior Care and Housing Support Officer

Sandwell Metropolitan Borough Council
Band D, SCP 9 -17 (£27,254 - £31,022 per annum) Pro Rata
There will be opportunities to develop with the team. Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Strategic Finance Business Partner (Capital & Major Projects)

Sandwell Metropolitan Borough Council
Band J (£60,194 to £63,832)
This is an exciting opportunity to lead the financial management and oversight of the Council's Capital Programme and major projects portfolio Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Strategic Finance Business Partner (Place OR People)

Sandwell Metropolitan Borough Council
Band J (£60,194 to £63,832)
Sandwell Council’s Finance and Transformation Division is seeking an experienced Strategic Finance Business Partner (Place OR People) Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Co-ordination Support Officer

Wakefield Council
£26,824 - £28,142
Are you passionate about making a difference to our citizens and the district that they reside in? Wakefield, West Yorkshire
Recuriter: Wakefield Council

Senior Care Assistant

Wakefield Council
£21,641.72 - £23,865.83
We are a Dementia Care Home based in Knottingley, supporting vulnerable adults who have a diagnosis of Dementia. Wakefield, West Yorkshire
Recuriter: Wakefield Council
Linkedin Banner