Forensic services firm falls into administration threatening 260 jobs

A Coventry company providing a range of forensic services to the police, international law enforcement agencies and private clients has fallen into administration placing 260 jobs in question.

Key Forensic Services, which was launched at the University of Warwick Science Park in 2005, operates from three bases around the UK. In addition to Coventry, it also has operations in Warrington and Norwich.

The company, which is the largest independent supplier of forensic services in the UK, achieved turnover for the year to March 31, 2017 of £15.3m.

It established a new headquarters at the Vanguard Centre at the science park in 2013.

The company is thought to have encountered working capital difficulties as it looked to expand further.

Simon Chandler and Scott Bevan, of Mazars, were appointed as Joint Administrators on January 30.

They have reached an agreement with the key stakeholders of the company to ensure a period of stability in the business. This will minimise the impact on the criminal justice system and ongoing cases, and help to protect evidence in live criminal cases.

The company is continuing to trade and no redundancies have been made.

The joint administrators said they were in discussions with interested parties and were seeking further offers for the business and its assets to enable a sale as a going concern.

Mr Chandler, Head of Restructuring Services and Joint Administrator, said: “The company had an underlying profitable business but suffered extreme pressure on its working capital whilst developing new markets and opportunities.

“The working capital issues have ultimately resulted in the need to appoint Joint Administrators despite the efforts of senior management to obtain further funding or a purchaser.

“I would like to thank the company’s stakeholders for their support in stabilising the business so that discussions can take place with interested parties to achieve a sale of the business and assets. A sale would preserve jobs and provide the best outcome for stakeholders and creditors.”

 

Close