NZ: Receivership of major construction company

Mainzeal in receivership
One of New Zealand's larger building groups, Mainzeal 
Property and Construction, has collapsed into receivership.

TVNZ,

6 February, 2013

PWC partners Colin McCloy and David Bridgman were appointed as receivers for Mainzeal and associated entitities, as a result of a request made by directors to Bank of New Zealand.

The company is understood to have about 400 staff.

Mainzeal director Richard Yan said that after "a series of events that had adversely affected the company's financial position" and a general fall off in commercial construction work, the company could no longer continue trading. The company was no longer getting shareholder support he said.

Receiver Colin McCloy said they were committed to doing the best they could for suppliers, staff and subcontractors of Mainzeal.

"We will work closely with all parties involved with Mainzeal contracts to determine the best way forward," he said in a statement issued today.

The company has been involved in the Christchurch rebuild through projects including the demolition of Clarendon Tower, a 17-storey central Christchurch building, which was badly damaged in the February 22 quake.

The receivers were not available for further comment.

The receivers were not available for further comment.