Sammon liquidation to result in 200 job losses, putting school projects in doubt

A liquidator has been appointed to Sammon Contracting Ireland Ltd today in a development which will put the completion of a number of school projects in doubt.

Sammon liquidation to result in 200 job losses, putting school projects in doubt

A liquidator has been appointed to Sammon Contracting Ireland Ltd today in a development which will put the completion of a number of school projects in doubt.

This will result in more than 200 staff losing their jobs, most of whom are employed locally in Kilcock, Co Kildare.

The company, part of the Sammon group, was placed into liquidation after the Examiner to the firm, Michael McAteer, made a petition to the High Court to have the company wound up.

UK construction company Carillion collapsed in January, owing millions of euro to the Irish firm.

Sammon went into Examinership in April after the suspension of the Schools Bundle 5 PPP project, a scheme in which Sammon had been appointed as sub-contractor to build five schools and an Institute of Further Education.

Miceál Sammon, Founder and CEO of Sammon Group said today: “This is a painful and distressing time for all of us who work in the business, including our wonderful staff, management, my family and myself personally. I deeply regret the financial and commercial impact that this development has had on our loyal suppliers and sub-contractors.

“The collapse of Carillion and the sudden suspension of the major Schools Bundle 5 PPP Project placed us into a perfect storm."

Mr Sammon said it was "highly improbable" that the schools would be open by the coming school year, and said the company was in "an irrecoverable position".

"We are devastated by the impact that this development has on everyone associated with our company - both personally and professionally," he said.

Responding to the news, Minister for Education and Skills Richard Bruton said he "regretted" that the firm would be going into liquidation and said it was a "particular blow" to the company's employees.

Mr Bruton said a tender process to find a new contractor to complete the Schools Bundle 5 PPP Project was at an "advanced stage" and that every effort is being made to have some of the schools finished by September.

The Minister also confirmed that Sammon Contracting was involved in the construction of Maynooth Education Campus which consists of two new 1,000 pupil post-primary school buildings.

The project was due to be completed in May 2019, but following today's announcement, a new tendering process will need to begin to arranged.

- Digital Desk

more courts articles

Man (25) in court charged with murdering his father and attempted murder of mother Man (25) in court charged with murdering his father and attempted murder of mother
Man appears in court charged with false imprisonment of woman in van Man appears in court charged with false imprisonment of woman in van
Man in court over alleged false imprisonment of woman Man in court over alleged false imprisonment of woman

More in this section

FILE PHOTO The Competition and Consumer Protection Commission has cleared the purchase of Goodbody Stockbrokers by AIB END Goodbody Stockbrokers fined over €1.2m by Central Bank over rules breaches
Nottingham City Centre Stock Irish staff at the Body Shop wait for wages as retailer shuts stores in the Republic
Ryanair comments on Norwegian Ryanair boss O'Leary's spat with Transport Minister over Dublin Airport escalates
IE logo
Devices


UNLIMITED ACCESS TO THE IRISH EXAMINER FOR TEAMS AND ORGANISATIONS
FIND OUT MORE

The Business Hub
Newsletter

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
ie logo
Puzzles Logo

Play digital puzzles like crosswords, sudoku and a variety of word games including the popular Word Wheel

Lunchtime News
Newsletter

Keep up with the stories of the day with our lunchtime news wrap.

Sign up
Cookie Policy Privacy Policy Brand Safety FAQ Help Contact Us Terms and Conditions

© Examiner Echo Group Limited