Monday 12 November 2018 1:48 pm

Interserve shares plunge to lowest level in more than 30 years


Jess Clark is a City A.M. news reporter covering private equity and investment.

Jess Clark is a City A.M. news reporter covering private equity and investment.

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Shares in troubled outsourcing firm Interserve plummeted more than 10 per cent today to the lowest level in more than 30 years.

The price dropped from 45.18p to a low of 39.03p today, as the construction and support services giant continued to struggle despite agreeing a rescue deal with lenders in March.

The company's finances were put under the spotlight this year following the collapse of former rival Carillion in January. 

Commenting on the company’s final results for 2017 chief executive Debbie White said it had been a “difficult year” with “much still to do.”

White launched a “fit for growth” transformation plan last year aimed at saving the company £15m after a string of profit warnings in 2017.

"This work has focused on refinancing, conducting a thorough assessment of the contract portfolio, and introducing new management disciplines, processes and cost controls under the 'Fit for Growth' programme," White said in April.

Last week waste management company Renewi revealed that Interserve was delayed in completing the Derby Waste Treatment Centre.

In October the company confirmed it had sold its infrastructure and industrial access and hard services business for £3.6m.

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