Manufacturer bought out by sister company saving 46 jobs

MACHINE tool manufacturer Peak Toolmakers has been bought out of administration, saving 46 jobs.

THe Chesterfield-based manufacturer was acquired by sister company Peak Toolmakers (Assets) managed by two of its current directors, Geoff Bacon and John Buxton.

Though profitable since 2004, a lack of working capital together with the loss of contracts from principal customers as well as competition from the Far East undercutting prices caused cash flow problems for the firm.

Based on Smeckley Wood Close, the firm’s sale out of administration was handled by Wilson Field insolvency practitioners Joanne Wright and Lisa Hogg.

Peak Toolmakers Limited, based on Chesterfield Trading Centre on Smeckley Wood Close, had enjoyed a profitable trading history since 2004 and had significantly grown to become a recognised name in the sector.

Joanne Wright from Wilson Field, said: “Peak Toolmakers Limited had experienced financial difficulties after seeing a drop in demand from a major customer, a loss of more than £500,000 on a contract and was being threatened by enforcement action from HMRC due to arrears.

“The pre-pack deal has meant all 46 employees’ jobs have been saved and ensures a continuity of trading under new ownership.”

Peak Toolmakers Limited’s main business was the production of mould tooling, with customers in the automotive sector including Jaguar Land Rover, Nissan, Toyota, BMW and similar manufacturers.

Director Geoff Bacon said: “Having gone through difficult times, we are very happy to have secured the loyal service of our staff through the help of Wilson Field.”

The Wilson Field team worked with solicitor Neil Kelly from MD Law in Sheffield and asset management consultant David Smith of Charterfields.