Out­sourc­ing firm in talks to save it­self

Sunday Mirror - - FRONT PAGE - BY STEPHEN HAY­WARD

OUT­SOURC­ING gi­ant In­ter­serve has held res­cue talks in a bid to avoid a Car­il­lion- style col­lapse amid £500mil­lion debts.

The con­struc­tion and man­age­ment firm em­ploys 45,000 peo­ple in the UK.

It builds and main­tains gov­ern­ment build­ings and pro­vides ser­vices from as­bestos re­moval to flood bar­rier re­pairs, as well as school and hos­pi­tal meals.

It has a turnover of £3.2bil­lion, 70 per cent of it from the gov­ern­ment.

But it has con­tin­ued to lose cash since March, when it agreed a prior res­cue deal, de­spite lu­cra­tive Mid­dle East con­tracts.

Its share price fell to a 30-year low last month.

Pos­si­bil­i­ties looked at by the firm and its ad­vis­ers in­cluded “op­tions to bring new cap­i­tal into the busi­ness and pro­gress­ing the dis­posal of non-core busi­nesses”, the firm said.

A spokesman added: “The fun­da­men­tals of the busi­ness are strong.”

The Cabi­net Of­fice said: “We mon­i­tor the fi­nan­cial health of all of our strate­gic sup­pli­ers..”

Car­il­lion col­lapsed in Jan­uary, at a cost to tax­pay­er­sof £148mil­lion.

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