Nearly 80 jobs saved as engineering business sold out of administration
A 60-year-old engineering business has been rescued and nearly 80 jobs saved in a pre-pack deal worth over £1m.
Adrian Graham of Sheffield insolvency and recovery practice Graywood was appointed as administrator of James Engineering Constructions (Alfreton) on May 20 2019.
The business was sold immediately in a £1.2m deal to safeguard 77 jobs at the firm. The sale also provides for the continuation of the company’s contracts to allow the business to continue trading.
James Engineering was established in 1958 and specialises in the design, manufacture and installation of steel chimneys as well as structural and architectural steelwork. Its customers are based across the UK and abroad.
Recent uncertainty surrounding Brexit had led to a decrease in orders and contractual issues put an increasing strain on the company’s cash flow. Pressure from creditors ultimately led to the company’s demise.
Administrator Adrian Graham said: “With a 60 year history in the steelwork industry, this sale has rescued the business, securing jobs and ensuring the continuity of contracts.
“I expect that there will be a return to creditors following the sale and I wish the business well for the future.”