Unsecured creditors look set to lose out on over £33million following the controversial collapse of the Stewart Milne Group earlier this year.
The construction firm sank into administration in January after Bank of Scotland withdrew its funding, despite two bids which founder Stewart Milne said could have saved the business.
Papers filed by administrators Teneo show that the bank will recover some, but not all, of the £107.9million it is owed, leaving nothing to be distributed to unsecured creditors and former staff.
The administrator's progress report reveals that deals have been tied up for five of the 10 projects which were left uncompleted when the business ceased trading.
Bank of Scotland holds a first ranking standard security over all land assets of the group, and a floating charge over all other assets. The report confirms the bank will receive money from the sale of those assets, but not full repayment of what it is owed.
Around 230 unsecured claims have been made to administrators totalling £33.4million, although this sum is far lower than originally feared. HMRC is due a further £1.7million.
The administrators have confirmed that it is "unlikely" that any money will be available for these unsecured creditors.
"Based on the current information, there is no prospect of a distribution for unsecured creditors," the report states.
The company also owned nine part-exchange properties at the point of collapse. Eight of the nine have been sold, allowing the administrators to recoup £1.1million for creditors.
Teneo says it will likely need to extend the administration for 12 months enable the sale of unrealised assets and for employment tribunal claims to complete.
Could SMG have been saved?
Speaking earlier this year after the business collapsed into administration, Stewart Milne said the collapse could have been avoided if the bank had accepted a bid for the business which would have saved jobs.
He said: "Stewart Milne Group was up for sale and, following significant interest, two bids were submitted.
"The bank has not accepted either bid and withdrawn its funding, which left the directors with no option but to appoint administrators.
"I tried everything I could to find a way to achieve a better outcome for the business and the people who depend on it.
"One of the bids could have delivered a comparable, financial return to administration and, crucially, allowed the business to continue to operate, safeguarding hundreds of jobs and protecting livelihoods."
Lloyds Banking Group - the parent firm of Bank of Scotland - said it "always" looks for an alternative solution to insolvency, but that had not been possible following years of "forbearance" with the Stewart Milne Group.
“When a company experiences financial difficulties, we will always try to find a solution that places the business onto a sounder financial footing without the need for any insolvency process," the bank said.
"Unfortunately, despite several years of support and forbearance, including multiple maturity extensions to the borrowing, this has not been possible in this instance. We will now work with the administrators, as they consider the best options for the business."