45 jobs lost as steel firm fails

ALL 45 workers at a Crewe steel fabricator CHK have been made redundant by administrators.

Stephen Clancy and Steven Muncaster of Duff & Phelps were called in on February 4.

In a statement they said they could not find a buyer for the business and it was unable to trade due to its financial position. The assets are now being broken up.

CHK was founded in 1964 and provided a range of services including laser cutting, forming, assembly, finishing and welding.

In the year to September 2011 it made a pre-tax loss of £579,000 on sales of £3.7m. It is owned by CHK Holdings, which in turn is owned by four family trusts.

Mr Clancy said: “The financial position of the company was such that it could no longer continue to trade as it faced a declining order book. With insufficient cashflow the company could not meet on-going trading liabilities, including employee wages and salaries.

“We initially sought to sell the business and assets of the company as a going concern. However, this approach was unsuccessful and the company had to cease trading and all employees have been made redundant. As such, the joint administrators are proceeding to realise the company’s assets on a break-up basis.”