Woodmace went down owing suppliers £11m

The full extent of debts owed to the supply chain was revealed in an administrator’s report filed at Companies House.

Subcontractors and suppliers are unlikely to receive a penny for their invoices despite the company being bought out of administration by its founder and former owner John Oak.

Woodmace went into administration in July following a cash flow crisis.

Administrator Begbies Traynor then oversaw the acquisition of the assets and trade of Woodmace Ltd and Woodmace Plant Ltd by Oak via his company Woodmace Concrete Structures Ltd.

The move saved 150 jobs and enabled work to resume at a range of developments across southern England where Woodmace is either principal contractor or a subcontractor.

Following the deal Oak said: “It is important to stress that the previous Woodmace was doing well but, in an issue which will resonate with far too many in the construction industry supply chain, the business was unable to collect significant amounts of money owed to it.”

 

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