UNITED KINGDOM Auto Windscreens Administrator Receives
Enquiries from Possible Buyers
February 18, 2011
Deloitte LLP, which was appointed as administrator of the United Kingdom-based Auto Windscreens this week, says the company has received “a number of enquiries from parties expressing interest in the Auto Windscreens business.”
“We are currently progressing discussions with a number of these parties,” writes Deloitte. “Although it is too early yet for us to be able to provide employees, creditors and other stakeholders with any definite news on the outcome of these discussions, please keep watching the Auto Windscreens website for news of any further developments. In the meantime the joint administrators would like to thank all of the employees for your ongoing patience and support.”
Matthew Cowlishaw, Christopher Farrington and Dominic Wong of Deloitte were
joint administrators of Auto Windscreens Ltd. on February 14
by the holder of a qualifying floating charge, according to reports
from Auto Windscreens and Deloitte.
According to information from Deloitte, Auto Windscreens “had
been implementing a major operational improvement plan, changing
the business model to deliver significant operational efficiencies.”
“However, delays in implementation of the IT systems, coupled
with lower than anticipated revenues in the final quarter of 2010,
had led to cash flow pressures,” writes Deloitte. “The
company had been in extensive discussions with a large number of
interested parties to provide the funding required to recapitalize
the business. However, before a recapitalization could be agreed,
the company received a winding up petition from a large creditor
and also had notice from one of its major customers that it was
terminating the contract.”
Guardian has named HM Revenue & Customs as the company's
largest creditor, but Deloitte had not released this information
at press time.
“It is extremely disappointing to see such a well-known business
enter administration,” says Cowlishaw. “The company
worked extremely hard to try and recapitalize the business, but
unfortunately this could not be achieved in the time available.
We are now in urgent discussions with the key stakeholders and interested
parties in an attempt to save the business. We have provided the
employees with full briefings and have set up a dedicated employee
hotline to help them understand their position.”
paper has reported that the company is in “serious
talks” with a potential buyer and that Auto Windscreens could
re-open as early as Monday, but neither Deloitte nor Auto Windscreens
has confirmed this.
Auto Windscreens has 68 locations in the United Kingdom and 550
mobile units, a distribution center in Aston, Birmingham, and a
central call center headquartered in Chesterfield, and employs around
1,100. The company is headquartered in Chesterfield, and employs
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