Cellular Systems Limited (03601537): administration
- Status
- Administration ended
- Administration began
- 2013-06-20
- Administrators' firm
- Deloitte
- Formerly
- Whiteweir Limited
- Incorporated
- 1998-07-21
- Location
- Manchester
- Industry
- 61100 Wired telecommunications activities
Why it went into administration
- Loss of a key customer, supplier or contract
- Cash flow / liquidity pressure
- HMRC / tax arrears
From the administrators' statement
Prior to the appointment of the Administrators, Deloitte had been assisting Management and the Bank in monitoring the cash flow position of the Company and assessing the options to address the financial difficulties being experienced by the Company
The Company suffered the loss of a key contract in September 2012, which represented a substantial portion of its turnover The Company successfully secured a new contract with Huawei to provide 4G upgrades to current and new telecommunication masts Management expected this contract to replace much of the turnover lost in September 2012 However, in the interim period, the Company suffered cash flow difficulties as a result of paying off creditors related to the former contract, whilst delays were experienced in starting the new Huawei contract As a result, the Company was unable to meet its creditor commitments, including significant HMRC arrears and its monthly/weekly staff salaries At this point, the Directors decided to file a Notice of Intention to Appoint Administrators, in order to protect the Company from creditors taking further action against It
The Joint Administrators were subsequently appointed by the Directors on 20 June 2013 Details of the Appointment of the Administrators
Administrators' statement of proposals (2013-08-02) · Companies House register