Robot tunnelling start-up HyperTunnel, chaired by former Network Rail chief, has entered administration.
- Despite efforts to secure funding, the company was unable to meet creditor deadlines, leading to its financial downfall.
- HyperTunnel aimed to revolutionise tunnelling with AI, 3D printing, and swarm robotics but struggled to scale.
- The administrators are exploring options to possibly save the company and protect jobs.
- During its short tenure, HyperTunnel made notable advancements, including partnerships and successful demonstrations.
Robot tunnelling start-up HyperTunnel, formerly chaired by ex-Network Rail chief executive Mark Carne, has recently gone into administration. The Hampshire-based firm ceased operations this week after unsuccessful attempts to secure additional investment, as reported by insolvency specialists Opus.
The company endeavoured to innovate the tunnelling industry by employing a blend of artificial intelligence, 3D printing, and swarm robotics to expedite time and reduce costs. Their approach involved using numerous small robots programmed to work in unison, contrasting with traditional boring techniques.
Paul Davis, joint administrator from Opus, disclosed that operations halted as HyperTunnel could not fulfil upcoming loan repayments to investors. He stated, “The business had run out of cash, despite the efforts of the directors to arrange further funding.” As a result, directors opted for administration to safeguard the business and contemplate potential sale opportunities.
Efforts are being made by the administrators to consider saving the company and the positions of its 40 employees. Davis confirmed that no redundancies have occurred up to this point, and exploration into the firm’s future continues.
Founded in 2020, HyperTunnel was not financially large enough to submit comprehensive accounts. By April 30, 2023, it had financial obligations amounting to £9.7 million. In 2022, the start-up successfully executed a Network Rail test, constructing a 6 metre-long tunnel, showcasing their novel methodology.
That same year, HyperTunnel received a vital investment from Vinci’s innovation initiative, Catalyst, and was recognised as one of the top-50 construction tech start-ups by Cemex Ventures in 2021. Additionally, in 2023, a memorandum of understanding was signed with the University of Birmingham to further enhance their technology development strategies.
Co-chief executive and co-founder Jeremy Hammond previously highlighted their strategy to align with industry partners rather than compete directly. “We are not contracting directly with Network Rail but partnering with contractors who are going to deliver solutions to Network Rail,” he remarked, underscoring their collaborative approach.
The future of HyperTunnel remains uncertain as administrators explore possibilities to rescue the innovative tunnelling firm.
