Sunderland builders’ merchant falls in administration

Sunderland builders’ merchant, A Thompson & Sons Ltd have fallen into administration, it was announced today.

The builders’ merchant, known as Thompsons, operate four branches across the North East and announced last week that the company was facing financial difficulties.

And today Mark Firmin, Howard Smith and Paul Flint, of KPMG’s Restructuring practice, have been appointed joint administrators of A Thompson & Sons Limited.

Thompsons are currently thought to employ around 70 members of staff, however no redundancies have been made as of yet.

Last week the company announced that they were exploring the option of seeking a Company Voluntary Arrangement (CVA) with their creditors.

However, following a winding up petition from HMRC Thompsons were unable to acheive a CVA without the protection of an administration.

Mark Firmin, joint administrator and regional head of restructuring at KPMG said: “The business has been impacted by weak trading conditions across the sector which has led to cash pressures.

“Ultimately an inability to pay last month’s wage bill and the issuing of a winding up petition by HMRC have resulted in Thompsons entering administration.

“We are now assessing the financial position of the company while marketing the business and assets for sale.”

Any party interested in acquiring some or all of the business should contact James Lumb on behalf of the administrators immediately at james.lumb@kpmg.co.uk.

Looking to promote your product/service to SME businesses in your region? Find out how Bdaily can help →