Proline affected by Forrest fall-out
Sale-based building services firm Proline is working with business adviser Cowgills to try and save the company after Bolton construction group Forrest left it with a series of unpaid bills.
According to trade publication Construction Enquirer, Proline is fighting for survival and options under consideration at the moment include administration.
Last month it was revealed that Forrest was bidding to secure its future after it had stopped work on several developments in Merseyside and Greater Manchester.
Forrest said it was undertaking a financial restructuring, blaming “a series of incorrect pre-construction estimates” on some of its projects.
Last week Liverpool developer Elliot Group confirmed the appointment of Careys to build the concrete frame on its £70m residential development in Greengate, Salford, called The Residence.
The twin-tower scheme, rising to 34-storeys at its highest, was to be built by Forrest, with Careys acting as sub-contractor for the frame, but Elliot Group took repossession of the site as part of what it called its ‘Plan B’ while Forrest fights for survival.
Construction Enquirer said Proline had been working on two major Forrest sites in Machester – the X1 Gateway where it had a £3.7m M&E package, and the X1 Plaza.
It is believed that Proline could retain its name and brand in a slimmed-down business
Group managing director Michael Fraser said the Forrest situation had caused a “devastating effect on our staff, subcontractors and suppliers and we are sincerely sorry for this.”
Forrest is selling its social housing and energy divisions to Engie after refinancing talks for the business failed.
Forrest’s new-build business is still in limbo after work stopped on all of its sites.
Mr Fraser said: “We are a profitable business and have always operated in the right way but this has been a catastrophic event.
“We are just getting through things day by day at the moment.
“We’ve not heard anything from Forrest for a while.
“There’s a lot of goodwill towards our business and suppliers and clients have been very supportive.”
Latest accounts for Proline Group show the company made a pre-tax profit of £468,000 from a turnover of £11.3m during the year to September 2017.
