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.

SIGN UP
For your free daily news bulletin
Highways jobs

Digital Support Analyst (Field Engineer) - ACL

Essex County Council
£30685.00 - £36099.00 per annum + +26 Days Leave & Local Gov Pension
Digital Support Analyst (Field Engineer) - Adult Community LearningPermanent, Full Time£30,685 to £36,099 Per AnnumLocation
Recuriter: Essex County Council

HGV & Municipal Vehicle Technician

Ribble Valley Borough Council
Scale 5 (scp 16-19) £30,518 to £32,061 per annum
This post assists the Senior HGV and Municipal Vehicle Technician in ensuring that the Council’s vehicle fleet is maintained to a high standard. Clitheroe, Lancashire
Recuriter: Ribble Valley Borough Council

Data Performance Analyst

The Royal Borough of Windsor & Maidenhead
£39,526 - £43,613 per annum
We have an exciting opportunity for a Data Performance Analyst to join us! Maidenhead, Berkshire
Recuriter: The Royal Borough of Windsor & Maidenhead

Building Control Surveyor

North Yorkshire Council
Circa up to £46k* + 10% Recruitment Payment
Shape Safer, Smarter Buildings Across North Yorkshire Selby, North Yorkshire
Recuriter: North Yorkshire Council

Building Control Surveyor

North Yorkshire Council
Circa up to £46k* + 10% Recruitment Payment
Shape Safer, Smarter Buildings Across North Yorkshire Northallerton, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner