REGENERATION and housing company Keepmoat yesterday revealed that it had appointed a new chief executive and secured a refinancing agreement.
It was also confirmed that 250 people have been made redundant over the last four months at Doncaster-based Keepmoat, following its merger with Apollo in March.
The new funding arrangements replace the temporary bridging loan, organised at the time of the merger. Keepmoat is now owned in a partnership between management and Lloyds Banking Group.
The group said its debt has been “significantly reduced” and the maturity of the debt facilities has also been extended for a term of six years at an improved margin. Following the merger, Ian Sutcliffe, the company’s chief executive, has decided to step down. Dave Sheridan, previously head of Keepmoat’s northern business and before that CEO of Apollo, has become chief executive.
Keepmoat employs 3,200 people and operates from 22 offices across Britain. Full-year pro-forma figures following the merger are expected to show revenues of £1bn and profit of £57m. The statement added: “The profit is lower than previous years, reflecting some areas of underperformance highlighted by the merger.”
The profit figure last year was around £68m. Keepmoat said management had acted to deal with the underperforming parts of the business and is focused on winning profitable contracts.