Group Five recently has filled protection of deal for bankruptcy. The company is the third biggest firm in the construction process, further going ahead of thefts in recent times, according to Construction Market research reports.
Growing with a 45-year history of excellence, the company has since built the King Shaka airport. Additionally, stadiums such as Mabhida Stadium, along with fuel pipelines has been a major contribution by the company. A large section of the N1, N2 and N4 highways are dominated by the company. A string of head offices of Cell C and Nedbank has been a crucial landmark in the Johannesburg domain.
Some other bankrupted builders were already on the verge before the company got hit. The builders like Basil Read and Esor has been hit hard in the government infrastructure projects currently, stated by Construction industry trends. This further puts the South African economy in jeopardized conditions.
The conditions of the construction sector have been deteriorating with the worst experiences in the current decade, mostly in the development firms. This was stated by the CEO of a construction firm-Concor, Eric Wise.
With this, there is constant havoc among other construction firms. These firms were at a time some of the biggest names of the country. With deteriorating currently, the condition doesn’t seem to improve soon. This, on the other hand, is affecting the economy to a large extent.
Aveng, Murray & Roberts were named among the several biggies in the top forty companies listed in the list of FTSE/JSE Top40. They are largely going on a toss for now.
Currently, these companies are small and even smaller in the economy from the top companies of the list before a decade.
Sill there has been a little hope for the construction industry lately with the South African construction industry looking to bloom amid downturns, eventually recovering states construction industry reports.
The current status says a speedy recovery on the rise of government’s infrastructure programs being implemented. This has a significant potential to further ignite the investments of private sectors, giving the construction industry a boost.