Deals

Carillion Collapses After U.K. Government Refuses Bailout

British construction company filed for compulsory liquidation
Talks over weekend failed to deliver government support

The government is "running out of control" of Carillion, says opposition U.K. Labour Party lawmaker Jon Trickett.Source: Bloomberg

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By Tara Patel and Robert Hutton

January 15, 2018 at 2:10 AM EST

Updated on

January 15, 2018 at 5:08 AM EST

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Carillion Plc, a U.K. construction company with government contracts in everything from hospitals to the HS2 high-speed rail project, filed for compulsory liquidation after failing in a last-ditch effort to shore up finances and get a government bailout.

The company employs 43,000 people worldwide, almost 20,000 of them in the U.K., and has as much as 1.5 billion pounds ($2.1 billion) in outstanding borrowings. It held talks with the government Sunday to ask for the 300 million pounds it needed by the end of the month to stay afloat, the Mail on Sunday reported.