An administrator has been appointed to two subsidiaries of ERH Holdings Ltd – ER Hemmings Ltd (Building), and ERH Construction Ltd (Construction).

It follows the news last week that the two subsidiaries were to close with the loss of 37 jobs, while road repair work worth more than £2m has also been stopped in Bath.

In a statement released by the parent company, ERH Group, the firm is implementing a financial restructuring, which it hopes to strengthen "the long term viability of its remaining subsidiaries, Communications and Holdings".

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The statement reads: "The directors of E R H (Holdings) Limited ("Holdings") and its subsidiary ERH Communications Limited ("Communications") wish to assure customers, suppliers and employees that it is business as usual and these companies are unaffected by last weeks' events affecting two other subsidiaries E R Hemmings (Building) Limited ("Building") and ERH Construction Limited ("Construction").

"Following a recent senior level and board restructuring, which has seen five directors leaving the Group, the remaining board is confident Communications and Holdings is now on a sound footing to trade successfully going forward and seeks continued support from customers, suppliers and employees."

The full statement can be read here.

(MH/JP)