Situl Raithatha of restructuring firm Springfields was appointed Administrator of Schlegel Automotive Europe Limited on 4 October 2012.
As previously indicated, immediately following the appointment of the Administrator it was unfortunately necessary to make a large number of redundancies with the loss of 221 jobs out of a total workforce of 336. After conducting an initial review of the business and assessing the viability of the Company, the decision was taken to continue trading with a view to a prompt sale of the business and thereby preserving those jobs that remain. Operations have now been stabilised and the business is continuing with the remaining workforce of 115. The major customers have been supportive and orders are continuing to be processed.
The Administrator is in the process of attempting to sell the business and assets as a going concern. There has been a significant level of interest in the business and discussions with various interested parties are on going. Given the level of support received to date from customers, no further redundancies are expected during this process, provided a sale can be achieved.
The Administrator, Situl Raithatha said “With strong support from the workforce, customers and various other stakeholders, we have been able to quickly stabilise the situation and trade on in Administration. We are now concentrating our efforts on finding a buyer for the business. In view of the strong level of interest shown, I am extremely hopeful that a sale can be achieved allowing the remaining jobs to be preserved.”
19 October 2012
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