{"id":22718,"date":"2018-05-29T10:18:19","date_gmt":"2018-05-29T10:18:19","guid":{"rendered":"https:\/\/oradeo.com\/?p=22718"},"modified":"2018-06-01T07:47:56","modified_gmt":"2018-06-01T07:47:56","slug":"new-rivals-to-build-and-run-schools-left-unfinished-after-carillion-collapse","status":"publish","type":"post","link":"https:\/\/oradeo.com\/2018\/05\/29\/new-rivals-to-build-and-run-schools-left-unfinished-after-carillion-collapse\/","title":{"rendered":"New rivals to build and run schools left unfinished after Carillion collapse"},"content":{"rendered":"
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State\u2019s National Development Finance Agency says schools and Institute of Education must be ready for new academic year<\/h2>\n<\/hgroup>\n
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Source:<\/a><\/div>\n
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Barry O’Halloran<\/a><\/div>\n<\/div>\n<\/div>\n<\/div>\n
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The British group Carillion collapsed owing \u00a37bn to creditors. Photograph: PA Wire<\/p>\n<\/div>\n<\/section>\n

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\"The<\/div>\n<\/div>\n
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Builders BAM and Sammon face competition from rivals including\u00a0JJ Rhatigan<\/a>\u00a0and\u00a0Sisk<\/a>\u00a0to build and run six schools left unfinished by the collapse of British group\u00a0Carillion<\/a>.<\/p>\n

Work stalled on the construction of five schools and an Institute of Education after Carillion, one of the partners in the project, went to the wall, subsequently forcing Irish sub-contractor Sammon to seek protection from creditors.<\/p>\n

JJ Rhatigan and Sisk, facilities manager\u00a0Sodexo<\/a>\u00a0and possibly other players are in the running to finish building and to maintain the schools in competition with a joint bid from BAM and Sammon, named as front-runners for the contract.<\/p>\n

News that several bidders are in the race follows a recent meeting between the State\u2019s\u00a0National Development Finance Agency<\/a>\u00a0(NDFA), which is overseeing the project, and its lenders German bank\u00a0Helaba<\/a>\u00a0and Japan\u2019s Tokyo\u00a0Mitsubishi Bank<\/a>.<\/p>\n

The State agency is understood to have stressed to the banks that the schools and Institute of Education must be ready for the start of the new academic year in September, the date on which they are scheduled to open.<\/p>\n

BAM was named as the likely winner of the contract at a\u00a0High Court<\/a>\u00a0hearing last month that confirmed the appointment of an examiner to Sammon, which lawyers said would be hired to complete work on the schools.<\/p>\n

Developer PJ McGrath of the McGrath group has expressed interest in backing a rescue plan for Sammon which is continuing to trade.<\/p>\n

\u2018Complex process\u2019<\/h4>\n

A spokesman for BAM said on Monday: \u201cDiscussions are ongoing in what is a complex process\u201d, indicating that the partnership is still in the running for the work.<\/p>\n

The contract involves both building the schools and taking responsibility for facilities management \u2013 that is maintenance and other services \u2013 for 20 years after construction.<\/p>\n

According to sources, BAM would hire Sammon, which was originally contracted to build the schools, to finish the work, while it would take charge of facilities management.<\/p>\n

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Sodexo, a specialist in facilities management, is bidding for this element of the deal, while JJ Rhatigan and Sisk are candidates to finish construction. Sources say an unnamed Scottish contractor may also have expressed interest in the work.<\/p>\n

Specialist investor\u00a0Dutch Infrastructure Fund<\/a>\u00a0(DIF), Carillion\u2019s partner in the original contract, is responsible for hiring whichever businesses will finish and manage the buildings. It sought bids for the work in April.<\/p>\n

The NDFA does not have a view on which bidder should get the work once it is completed on time. DIF has said it is committed to ensuring this happens.<\/p>\n

Delay<\/h4>\n

Staff in the five schools and the Institute of Education in counties Carlow, Meath,\u00a0Wexford<\/a>\u00a0and\u00a0Wicklow<\/a>\u00a0fear the delay, dating back to Carillion\u2019s liquidation in January, could prevent them opening on time.<\/p>\n

Inspired Spaces, owned by Carillion and DIF, originally won the \u20ac100 million schools contract from the State. Helaba and Tokyo Mitsubishi Bank were providing the finance.<\/p>\n

Inspired Spaces hired Irish group\u00a0Sammon Contracting<\/a>\u00a0through another Carillion subsidiary to build them, a deal that ended when the UK group folded owing \u00a37 billion (\u20ac8bn) to creditors.<\/p>\n

The High Court appointed Michael McAteer of\u00a0Grant Thornton<\/a>\u00a0as examiner to Sammon, owed \u20ac8 million by Carillion, last month.<\/p>\n<\/div>\n<\/section>\n","protected":false},"excerpt":{"rendered":"

State\u2019s National Development Finance Agency says schools and Institute of Education must be ready for new academic year Source: Barry O’Halloran The British group Carillion collapsed owing \u00a37bn to creditors….<\/p>\n","protected":false},"author":20,"featured_media":22719,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[155],"tags":[],"class_list":["post-22718","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry-news"],"yoast_head":"\nNew rivals to build and run schools left unfinished after Carillion collapse | Oradeo<\/title>\n<meta name=\"description\" content=\"| New rivals to build and run schools left unfinished after Carillion collapse\" \/>\n<meta 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