Administrators of a £68m-turnover collapsed fit-out specialist have suspended their collection of outstanding debts following months of painstaking work.
Following “several months of pursuing the remaining debts with no significant developments”, administrators for fit-out specialist Twenty 1 Construction have decided to suspend that work after advice that it would not be cost-effective to continue.
Grant Thornton, which was appointed to lead the administration process in March 2022, said it had gathered £1.87m worth of book debts and retentions which were owed to Twenty 1 Construction, but does not expect to recover any more cash.
“Following advice from [legal firm] Irwin Mitchell, we decided to conclude the pursuit of the remaining debts as the alternative would not be cost effective for the estate,” Grant Thornton said.
The administrators also confirmed that it had received £20.5m worth of claims from unsecured creditors so far, including subcontractors and suppliers.
But “due to insufficient funds” no money will be made available to the supply chain.
More than 50 former employees also claimed that they were not consulted over their redundancy, winning at the Employment Tribunal back in March.
As unsecured creditors, they will not receive their payout of 90 days’ pay, however.
But the administrators did pay out a dividend of £182,495 to Twenty 1 Construction’s 64 former employees in April.
Founded in 2012, Twenty 1 Construction completed work in prime London locations, including Aldwych, Grosvenor Street and Farringdon.
The firm also fitted out two floors of British Land’s Broadgate Tower, and worked with the likes of Mace and WSP at 110 Bishopsgate in the City of London.
The firm had a turnover of £68.6m and a pre-tax profit of £692,000, according to its final accounts covering the year to 31 December 2020.
