Administration nears at stricken manufacturer

Worcestershire-based tubing manufacturer Tricorn could be placed into administration after running out of cash.

The firm announced to the London Stock Exchange this morning that after weeks of speculation, it has extended a notice of intention to call in administrators.

Tricorn says it has received offers for the company and/or its subsidiaries on a going concern basis – which may cut the chances of wholesale redundancies.

Tricorn was first put up for sale in July after bosses at the company admitted that it didn’t have enough cash in the bank to implement a turnaround plan.

In August trading in shares at the AIM-listed Malvern firm was suspended.

In a statement this morning, Tricorn said: “The board continues to believe that in light of the continuing pressure on immediate working capital requirements and cash constraints and in the absence of a viable solution for additional funding or an offer for the shares of the company, in the time available it remains in the best interests of stakeholders as a whole to pursue a sale of the company’s trading operations and/or subsidiaries in order to secure the best possible outcome for creditors, suppliers, customers, and staff.”