By Kate Hanaghan, 21 February 2002 07:45
NEWS Troubled UK telcoms carrier Energis is back-tracking on £1bn worth of European investment as it retreats to the UK in an attempt to gain support from bankers. A shock profits warning last month forced the company into a strategic review of its operations. The outcome will be revealed today as the company announces plans to sell-off its loss-making businesses outside of the UK. Three warnings in a row, coupled with news that the company could breach agreements with its banks almost immediately after it secured a £725m facility, had a devastating effect on its share value. The banks are concerned this money will be ploughed into the loss-making businesses. UK staff are expected to go. Some 500 people are expected to lose their jobs as Energis slims down UK operations.
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