Thu, 22 Mar 2018 | ADMINISTRATION
A Blackburn-based producer of aluminium products has entered administration after an exacting contract dragged down the company’s finances.
S.G. Aluminium, a firm that not only produces but also installs architectural aluminium windows, doors, curtain walling and shop fronts, is expected to make the majority of its 33-person workforce redundant as a result.
Its clients included some of the country’s biggest building contractors, including Carillion, Balfour Beatty Construction and Interserve. It also provided components for Manchester City’s new stadium, the Etihad Stadium, and Blackburn Rovers’ ground at Ewood Park in the form of curtain walling and aluminium doors.
Recent pressures on the company were prompted by falling sales and cash flow pressures arising from one particularly onerous contract which chipped away at the company’s reserves, meaning that it had little ability to meet its capital requirements to continue operating.
The firm’s directors have been considering various restructuring options since the beginning of the year, when such troubles became apparent.
They were unable to come up with a satisfactory solution, however, and called in Paul Flint and David Costley-Wood from KPMG’s restructuring practice to oversee its administration.
One of S.G. Aluminium’s staff will stay on for a short time in order to assist the administrators to package up the company.
Flint said that the company’s fate was sadly inevitable in the face of “mounting cash flow pressures”, and that administration was the only alternative left to S.G. Aluminium’s directors.
He added: “Our focus now will be on finding a buyer for the business and realising assets for the benefit of the company's creditors, together with providing support to those staff who have been made redundant."
Seeking parties interested in the business and assets of a company that trades as a fabricator sub-contractor for large construction companies.
The company is well-established and operates from a third party owned quarry in Lincolnshire. The business quarries, manufactures and supplies a range of aggregate products, gabion stone and provides associated products and services throughout the Un...
An exciting opportunity to purchase the leading UK security, fire and Passivhaus doorset manufacturing company. A specialist in providing accredited doors for communal and multi-occupancy buildings, with the designs now established as market leading.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.