Stricken manufacturing firm owes £4.3m to creditors – but administrators hopeful of a sale
A Lincolnshire manufacturer which fell into administration earlier this year owes over £4.3m to creditors, according to documents seen by TheBusinessDesk.com.
Family-run MTAG Composites appointed administrators from RSM UK in July. At the same time, administrators were appointed to parent company MTAG (Holdings) and sister firm Electric Future Group.
Based in Coningsby, Lincolnshire, MTAG Composites is the trading company in the group and is a manufacturer of moulded composite parts for the rail, aerospace, automotive, construction and leisure sectors, producing items such as train interiors, aircraft seating and boats.
Its latest available accounts show that the firm employed around 120 people.
The administrators took the decision to temporarily cease day-to-day operations immediately upon their appointment.
However, following an “accelerated and detailed” review of the financial position, the administrators decided to restart day-to-day operations on a limited basis, in line with the timetable for an accelerated sales process.
Administrators have made minimal redundancies but have retained all of the operational and production staff on a “lay-off” basis.
A new update to Companies House shows that a sales process of MTAG is ongoing – but that unsecured creditors are unlikely to see any of the cash owed to them.
