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Australia construction giant Metricon reassures it is strong despite rumours

The acting CEO of Australia’s largest home builder, Metricon, claims the company remains strong, despite its management holding crisis talks in Melbourne this morning.

Acting Metricon CEO Peter Langfelder this afternoon fronted the media to deny rumours that the company is on the verge of collapse.

“Metricon has long term viability,” Langfelder said.

Acting Metricon CEO Peter Langfelder has said the company remains strong. (Nine)

“Our contracts in place are profitable. Everything is completely up to date.”

“We’ve got an incredibly strong management team.”

Langfelder conceded it was an “extremely difficult time for business” since its co-founder and chief executive Mario Blasin died on Monday.

He said the business remained strong and would continue “business as usual”.

He insisted there was “no truth to the rumours” about financial struggles within the company.

Executives at the building company have today met with creditors and the Victorian government following Blasin’s sudden death.

Metricon employs 2500 workers and has 4000 homes under construction.

The founder and CEO of Australia’s biggest building company Mario Biasin died suddenly. (Nine)
The Victorian government, which has $195 million worth of social and affordable housing projects with Metricon, confirmed it would meet with the company today, The Age reports.

Some of the projects have been finished, while others are under construction or waiting to start.

Australia’s construction industry has been battered by tough economic conditions. (AAP)

Australia’s recent housing boom had also driven prices of materials and labour up, he said, however the uptick in building appears over, at least for now.

Building approvals across the country collapsed in January, according to Australian Bureau of Statistics data, down 27.9 per cent from December.

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