The government will meet with Carillion and the Pensions Regulator on Friday to discuss the giant services and construction company’s deficit.
Carillion, which is one of the government’s biggest contractors, is struggling under £1.5bn of debt, including a pension shortfall of £587m.
The company held talks with its lenders and advisers in London on Wednesday.
However, no announcement has been made on a business plan to secure its future.
It said that David Lidington, who was moved to the Cabinet Office as part of Prime Minister Theresa May’s reshuffle this week, convened a meeting with Business Secretary Greg Clark, the new Justice Secretary Rory Stewart as well as the new Transport Secretary Jo Johnson and Liz Truss, chief secretary to the Treasury.
A spokeswoman for the government declined to comment on any specific meetings.
She said: “Carillion is a major supplier to the government with a number of long-term contracts. We are committed to maintaining a healthy supplier market and work closely with our key suppliers.
“The company has kept us informed of the steps it is taking to restructure the business. We remain supportive of their ongoing discussions with their stakeholders and await future updates on their progress.”
The business is now worth just £85.9m after its share price has plunged by more than 90% over one year.
The company is putting together a business plan – which it presented to its banks at the meeting on Wednesday – which it said “will provide the basis for the agreement of a proposal to restore Carillion’s balance sheet”.
A spokeswoman for the PPF said: “The PPF is aware of the discussions between the company, government and banks and, along with the trustees and The Pensions Regulator, will act as it always does to protect the interests of Carillion scheme members and levy payers.”
A spokesman for the Pension Regulator, said: “We have been and remain closely involved in discussions with Carillion and the trustees of the pension schemes as this situation has unfolded. We will not comment further unless it becomes appropriate to do so.”
Carillion was unavailable for comment.