Recovering value from failed contractor Acheson Construction could take until 2027, administrators have warned, as they revealed that the collapsed firm owed £10m.
Grant Thornton, which took control of the Dorset company in February this year, has applied to extend its administration period to a total of 24 months.
Acheson posted turnover of £53.6m in its latest published accounts but ceased trading after inflation soared and project starts were delayed.
In a progress report filed on Companies House last week, administrators said they had received claims totalling almost £9m from unsecured creditors and just over £1m from a secondary preferential creditor.
Grant Thornton added: “The administration is currently due to end on 17 February 2026. It has been identified that an extension…. is required for a period of 12 months to enable the joint administrators to pursue the realisation of assets and ultimately maximise recoveries for creditors.”
The administrator said it had become “apparent” that recovery of debts would not be completed before next February.
The extension will be granted unless 10 per cent of creditors by value raise objections by 10 October this year.
It emerged in April that an auction of Acheson’s plant and machinery had been suspended after an unnamed creditor “unlawfully took possession” of one of the firm’s seven telehandlers.
The latest report revealed that administrators had realised £214,625 by selling plant and machinery at auction.
Grant Thornton estimated its own fees from the Acheson job at £363,474. It said it had spent 606 hours on it to date at an average of £476 per hour.
“Remuneration eventually paid will depend on the complexity of the case as it progresses and the value of asset recoveries or successful claims,“ added the administrator.
Acheson Construction was established in 1976 as a refurbishment and restoration specialist for heritage buildings. The firm subsequently expanded operations to focus on new-build work in the education, industrial, commercial, residential and care sectors.
It grew rapidly in its final years, with turnover more than doubling from £23.5m in 2018 to £53.6m five years later. Repeat clients for the firm included care home operator Barchester Healthcare. It also landed places on frameworks for Aster Homes and Sovereign Network Group.
But administrator Richard Lewis said in February: “The business has been impacted by increased costs on fixed-price contracts, delays in the commencement of new projects and a dispute over amounts due under a key contract.
“While the directors had considered alternative options, they sadly concluded it was no longer viable to continue to trade.”
All 48 staff have been made redundant.
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Greg Pitcher