Ilke Homes is said to have told several hundred staff not to come to work at its Flaxby factory until further notice.
They have reportedly been told they will be paid and will be called back in when the company finds an investor. Managers will continue to work in the 250,000 sq ft factory next week.
The company, which manufactures modular homes was reported seeking a new investor this week.
Recently, the UK’s L&G Modular factory was closed in a major hit to the country’s modular industry.
Ilke Homes is in a race to pull in further funding in the next month or see its auditors draw attention to financial risks in the business when it publishes its latest accounts.
The $35M firm, which is more than two months late in filing its accounts, has been told by auditors that the current economic environment means it needs more funding than previously expected to get a financial clean bill of health, despite closing a US$125.8M fundraising in December.
Ilke, which builds modular homes from a 250,000 sq ft factory in Knaresborough, North Yorkshire, told Building’s sister title Housing Today that Companies House had given it a time extension to file its accounts until at least the end of the month, in which time it was aiming to secure additional funding. Ilke’s accounts for the year to 31 March 31 2022 were due to be filed on at the end of March this year but still have not been published.
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Gary Fleisher is the Editor in Chief of Modular Home Source and Offsite Builder magazine. Email at [email protected]
Gary Fleisher, the Modcoach
