# Dawnus Developments Limited (05265566)

> Why UK company 05265566 went into administration, from the administrators' statement filed at Companies House, by companydig. Interactive version: https://companydig.co.uk/company/05265566

- **Status:** Administration ended
- **Administration began:** 2020-05-11
- **Administrators:** Alistair Gareth Wardell, Philip Stephenson
- **Administrators' firm:** Grant Thornton
- **Formerly:** Dawnus Holdings Limited
- **Incorporated:** 2004-10-20
- **Location:** Manchester
- **Industry:** 70100 Activities of head offices

## Why it went into administration

- Parent or group failure
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
- Sustained trading losses
- Creditor pressure / legal action

## From the administrators' statement

Grant Thornton UK LLP (the Firm) was first consulted by the Group in December 2017 to assist with assessing options available far meeting forecast funding requirements. At that point, the Group was facing a cash shortfall driven principally by difficulties encountered in the delivery of specific UK contracts.

Following this, the Firm was engaged to assist with raising additional finance. In March 2018, the Group secured a £7 million funding injection provided jointly by HSBC Bank Plc (HSBC) and the Welsh Government (WG). The proposed repayment of this new funding was underpinned by a strategic plan designed to unwind the build-up of the historical contract work in progress (WIP) and to refinance or sell certain assets.

The Group realised c£7 million by refinancing or selling assets, with the recovery of historical WIP ultimately proving more challenging than expected. The Group repaid c£4 million, split equally between HSBC and WG, with HSBC and WG allowing c£3 million to be reinvested into the Group to further ease cash flow pressures.

Statement of proposals: https://find-and-update.company-information.service.gov.uk/company/05265566/filing-history/MzIzNDYxNTY2MWFkaXF6a2N4/document?format=pdf&download=0
Companies House register: https://find-and-update.company-information.service.gov.uk/company/05265566

Contains public sector information from Companies House, licensed under the Open Government Licence v3.0.