Interserve confirms lenders talks

Support services giant Interserve has confirmed that it is talking with its lenders following the profit warning it issued last month.

Rumours surfaced over the weekend that the company’s lenders had appointed accountancy firm EY amid fears over the future of the company.

Interserve confirmed that it is “engaged in constructive and ongoing discussions with its lenders”.

The firm revealed in September that outturn for the year would be “significantly below” its previous expectations, adding that the likely final costs of its exited energy from waste business will “significantly exceed” the £160m that it provided for this area of its business in February.

“Work is underway to provide greater clarity on Interserve's current trading and energy from waste provision,” Interserve said in its response to the market rumours.