Scottish contractor Noel Regan & Sons (NRS) Group has collapsed into administration amid “surging” supply chain costs and loss-making contracts.
The Livingston-based group provided construction, civil engineering and power solutions for a range of projects, including onshore civil works at the Seagreen wind farm off the Angus coast and at Hunterston substation.
Founded in 2010, the company had a forecast annual turnover of around £33 million for 2021-22.
It has now ceased trading with immediate effect.
A report by administrators notes that NRS had recently been exposed to “well-documented problems of surging costs” in both the supply chains and from fixed-price contracts that resulted in “involuntary losses.”
Reports suggest the firm’s workers were asked to leave site with immediate effect last Friday.
45 of the company’s 47 members of staff have been made redundant, while two have been retained on a short-term basis to help with the administration process.
FRP Advisory partners Michelle Elliot and Stuart Robb have been appointed administrators of the firm.
Ms Elliot said: “NRS UK is an established and highly regarded civil engineering and energy construction specialist with an impressive portfolio of projects across Scotland and England.
“The business has been exposed to the well-documented problems of surging costs affecting supply chains and from fixed price contracts that resulted in involuntary losses.
“Despite the best efforts of the sole director, the business faced a range of cash flow challenges in recent weeks due to these issues and could not continue trading.
“We will now market the business and assets of the business for sale and would encourage any interested parties to make contact as soon as possible.
“We will also ensure the employees receive every assistance to register any claims that they may have with the Redundancy Payments Office (RPO) and with accessing support services from PACE and other government bodies.”
Seagreen, the largest offshore wind farm in Scotland, generated its first power last month.