The parent company Sizes Works AB, production company Sizes Prefab AB and contracting company Sizes Construction AB have, on their own application, been granted bankruptcy by the Kalmar district court, the company states on its own website and further writes that the bankruptcies mean that the majority of group companies are now bankrupt. In total, around 140 employees are affected by the bankruptcies, where the majority of the staff is at the production facility in Oskarshamn.
According to the company, the background to the bankruptcy is the greatly changed and deteriorating market situation, which in turn led the group's largest customer (SBB, eds: note) to cancel all future projects. The company is therefore without an order book. After extensive work to search for other alternatives for the company, the board sees no other way out than to file for bankruptcy.
Since last year, Sizes had a collaboration with SBB and in August 2021, SBB announced that they had agreed with Sizes Works on the construction of 1,000 rental properties per year from 2023.
According to its website, Sizes has five projects with SBB and in total the projects comprise 463 apartments.
As recently as June, SBB signed a contract with Sizes for the construction of 60 rental apartments in Karlskrona, and at the end of May the equivalent for 45 rental apartments in Oskarshamn.
To Dagens Industri, Krister Karlsson, property development manager and vice president at SBB, says that SBB aims for approximately 180 of the 463 apartments to still be ready by the end of November this year.
"The other apartments are something we can discuss with the bankruptcy trustee. But overall it is pretty clear what has happened. The situation is due to the new construction, it has stopped completely. Construction costs are very, very high right now."