Scotland business

Simclar Group goes into administration

More than 200 UK jobs are at risk after Dunfermline-based Simclar Group has gone into administration.

The company supplies wiring, looms and sheet metal products to major electronics firms.

The administrators from Deloittes are expected to keep Simclar, which owns operations in China and the US, running while it seeks buyers for the business.

Simclar ran into problems when planned launches for new products, including an energy-saving plug, were delayed.

Four years ago, company bosses provoked anger at Holyrood when they suddenly closed two sites in Ayrshire, with the loss of more than 400 jobs.

Simclar Group was formed in May 2001 and is the parent company of a subcontract manufacturing group with operations in the UK, USA, Mexico and China.

The UK operations supply a number of blue chip customers including Bombardier and Alexander Dennis.

'Unique characteristics'

John Reid and Bill Dawson, of Deloittes, have been appointed by the directors of Simclar as joint administrators of the company, which employs 217 people in the UK, and certain subsidiary companies.

The administrators hope to continue to trade with a view to selling the business as a going concern sale.

Mr Reid said: "Simclar is recognised as a quality electronics manufacturing group with a global presence, a highly-skilled workforce and a blue chip customer base.

"Our aim is to sell the business as a going concern and offer a purchaser the opportunity to exploit these unique characteristics."

A total of 420 jobs were lost at the Irvine factory and Kilwinning operation in 2007, with axed workers staging protests over what they said was their "disgraceful" treatment by the company.

More on this story

Related Internet links

The BBC is not responsible for the content of external Internet sites