Redirack Limited (04930523): administration
- Status
- Administration ended
- Administration began
- 2014-01-15
- Administrators
- Toby Scott Underwood, Lyn L Vardy
- Administrators' firm
- PwC
- Formerly
- Bluewrack Limited; Broomco (3311) Limited
- Incorporated
- 2003-10-13
- Location
- Leeds
- Industry
- 25990 Manufacture of other fabricated metal products n.e.c.
Why it went into administration
- Creditor pressure / legal action
- HMRC / tax arrears
- Sustained trading losses
From the administrators' statement
The Company had been loss making for a number of months due to delays associated with two large contracts, a general downturn in business and significantly reduced profit margin on certain existing contracts
Given cashflow and trading difficulties, PricewaterhouseCoopers LLP were engaged joimtly by the Company and the Bank in December 2013 to assess viabie options for the Company going forward A management buyout of the business failed to materialise and subsequently a process was undertaken to attempt to sell the business Although a number of initial contacts were made and discussions undertaken, no offers were forthcoming.
In the interim, trade had become increasingly challenging following increased creditor pressure and a number of statutory demands had been issued, including a notice from HMRC threatening to wind up the Company after a failure to agree a Time to Pay Arrangement. Due to the Company’s financial position, the lack of
Administrators' statement of proposals (2014-03-18) · Companies House register