One of the UK's largest independent construction machinery dealers has entered administration, with more than 200 jobs lost immediately and the future of its UK operations effectively sealed.
2019 EHS exhibitors, Molson Group, entered administration on November 6. The announcement comes on the back of mounting financial difficulties, weakening demand for construction machinery and increasingly challenging trading conditions.
PwC has been appointed administrator of five businesses: Molson Group, Molson Equipment Services, Molson Scotland, Capital Equipment Finance and Aggregate Processing Solutions.
The group employed approximately 345 people in the UK, with 203 made redundant immediately and a further 140 jobs potentially affected as administrators wind down the remaining operations.
Molson operated from 16 UK locations, supported by more than 95 service engineers. Its extensive machinery portfolio included Hyundai Construction Equipment, Kobelco, Terex, Sennebogen, Bell Equipment, Thwaites, Merlo and Husqvarna demolition robots.
The group's various divisions supplied machinery and equipment to the construction, demolition, recycling, aggregates and port industries, alongside finance, servicing and technology operations.
Molson's financial difficulties were already evident in its latest published accounts, covering the year to September 2024. Despite generating turnover of £333 million, the business recorded a pre-tax loss of £10.3 million, compared with an £8.1 million profit the previous year.
Administrators explored several rescue options, including selling the UK business and assets, but no transaction could be completed in time.
However, Molson's US operations, including its Powerscreen dealership network, have been sold to newly incorporated Fieldsec Hastings Limited and will continue trading independently.
PwC is now overseeing the disposal of remaining UK machinery and parts inventories, while recovering outstanding debts.