Six ISG companies have applied to go into administration, court documents have revealed.
The notices were filed at around 4 30pm this afternoon and are for the following companies: ISG Construction, ISG Jackson, ISG Retail, ISG Engineering Services, ISG UK Retail and ISG Central Services. The firm’s fit out division is not listed in the documents.
The news caps a day of febrile speculation about the business with Ernst & Young, which declined to comment, rumoured to have been lined up to handle any administration.
Throughout the day, Building has been contacted by worried clients and contractors, as well as subcontractors and consultants, about rumours the firm was set to go into administration.
It is understood next week’s pay run was moved to this week with staff paid ahead of any pending failure.
ISG had been expected to be bought by an unnamed buyer, believed to be a South African businessman who made his fortune in healthcare products.
But a deal which was promised “within days” nearly 11 weeks ago by ISG chairman Matt Roche has still not materialised.
One subcontractor said this afternoon: “ISG sites are being stripped of works as we speak. We’re on our way to their sites now.”
ISG is owned by a US private equity firm called Cathexis which is run by a Texan billionaire called William Harrison. The firm paid £85m for the company, then a listed business, in 2016.
ISG has been contacted for comment.