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.

Skills Pipelines: What local government needs to know image

Skills Pipelines: What local government needs to know

Councils and mayors are to be handed a central role in developing skills pipelines for local industries, as the Government unveils what it calls a ‘fundamental change’ to the education system aimed at tackling youth unemployment. Here's what council leaders and officers need to know.
SIGN UP
For your free daily news bulletin
Highways jobs

Assistant Director Port Health

City of London
£74,550 - £85,030 per annum inclusive of all allowances
A key role in shaping and delivering a wide ranging regulatory agenda, from implementing ng relevant legislation London (Greater)
Recuriter: City of London

Assistant Director Adult Social Care

Tameside Metropolitan Borough Council
£111,070
You will provide visible leadership across Adult Social Care, working with elected members, health partners, providers, communities... Ashton-Under-Lyne, Greater Manchester
Recuriter: Tameside Metropolitan Borough Council

Digi-go Driver

Essex County Council
Up to £25959.00 per annum
Digi-go DriverPermanent, Full Time£25,959 per annumLocation
Recuriter: Essex County Council

Front of House Officer

Durham County Council
Grade 4 £26,427 - £27,709 pro rata to hours worked
We are looking for Front of House Officers to join the team at The Light and we have some part time 7hr, 14hr and casual contracts to offer for the ri Durham
Recuriter: Durham County Council

Senior Data and Insights Officer (GIS)

Durham County Council
Grade 11 £42,123 - £46,579
Help shape the future of geospatial intelligence at Durham County Council. We have an exciting vision for transforming how data, business intelligenc Spennymoor
Recuriter: Durham County Council
Linkedin Banner