– We see no other way out than to request a tender. It is primarily sad for our 12 employees, says Magne H. Karlsen, who has been in the construction industry for 47 years.
The reason why the company has ended up in a difficult financial situation is said to be a major job for which they have not yet been paid.
– Difficult market
Carpentry company Magne H Karlsen AS was established in 2015. In 2022, Løve Eiendom AS became the owner. At the turn of the year 2023/2024, the company took on a job for a larger construction company, which led to large losses for Tømrerfirma Magne H Karlsen AS.
Unfortunately, there were several unfortunate circumstances in this project which have meant that we have not been paid for the assignment as planned, and we are suffering a significant loss, says Magne H. Karlsen in a press release sent out on Tuesday afternoon.
Carpentry company Magne H Karlsen AS had a deficit of NOK 4.4 million in 2022. Last year the company had a profit of NOK two million.
– It is a very difficult market at the moment. The order reserve is not sufficient for us to see that it would be prudent to continue operations. The board and general manager have tried to turn over all stones to find a sustainable solution for the company, without having succeeded, says general manager Magne H. Karlsen.
– Challenging project
The company’s chairman, Henrik Rød, tells Halden Arbeiderblad that on Monday they had a meeting with the employees, where they informed them about the company’s demanding situation.
Rød became chairman of the board when Løve Eiendom AS became the owner in 2022. The bid in Tømrerfirma Magne H Karlsen AS does not affect other companies Rød is involved in.
– This tender is primarily due to a very challenging project the company was involved in. We have done what we could to find grounds to continue, but now unfortunately we had to call it quits to avoid further losses, says Rød.
Tags: Local News Business Carpentry company bankrupt employees lose jobs
