Construction company in charge of new psych facility in N.B. goes into liquidation
The U.K. based construction company in charge of constructing the new Saskatchewan Hospital in North Battleford has gone into liquidation, putting thousands of jobs at risk across Canada, and leaving uncertainty for the completion of the hospital.
Carillion, which employs more than 6,000 people in Canada and 40,000 around the world, has a 50 per cent equity share of the consortium Access Praries Partnership in the Public Private Partnership (PPP) to design, build, finance and maintain the new psychiatric hospital in North Battleford.
The company released a statement on Monday, saying it had no choice but to liquidate its assets after weekend talks with creditors and government officials failed to garner the short-term financing it needed.
The company has been struggling to reorganize amid debts of about 900 million pounds ($1.54 billion CDN) and a pension deficit of 590 million pounds. Carillion’s share prices have also dropped 70 per cent in the past six months.