A major Australian business has become the latest casualty due to worsening economic conditions and rising prices as it collapsed risking 170 jobs.
The plumbing and electrical contracting firm, Plumbfirst Group, and six related business have been placed into voluntary administration after it blamed rising material costs for its demise.
WLP Restructuring Partners, Alan Walker and Glenn Livingstone, were appointed on Wednesday as administrators and are urgently seeking an injection of funds or a buyer for the group.
Mr Walker said the decision to appoint administrators was made by the group’s directors after rising materials costs adversely impacted its financial performance.
“The group comprises one of the largest plumbing and electrical contracting operations across southeast Australia with a well-established 170 strong workforce and customer base,” he said. “We are confident that a process to sell or recapitalise the group can move ahead quickly with the objective to maximise recoveries for creditors and minimise disruption for staff and customers.
“We are already working closely with management, employees and other stakeholders to do everything we can to continue to trade the group on a business-as-usual basis while we…