Administrators appointed at computer firm Kaiam

  • Published
Kaiam Corporation
Image caption,
About 300 people work at the Kaiam plant in Livingston

Administrators have been appointed to the owners of a troubled West Lothian computer factory.

Workers at Kaiam's Livingston plant have been invited to attend a meeting on Monday to discuss the future of the business.

Earlier this week, they were warned that they were not being paid on time because of cash-flow problems. The factory employs about 300 people.

They were also told that they were not required for work before 3 January.

Blair Nimmo and Alistair McAlinden of KPMG have been appointed as joint administrators of Kaiam Europe Limited (KEL) and Kaiam UK Limited.

Employee meeting

Mr Nimmo said: "This is clearly very upsetting news for all of the staff at KEL, particularly at this time of year.

"Our first priority is to meet with the company's employees and communicate what these administration appointments mean for them, which we are aiming to do on Monday afternoon."

He added: "We are exploring a sale of the business and are working with Scottish Enterprise, Skills Development Scotland and West Lothian Council to provide a full range of support to the company's employees as this process takes place. We would encourage any interested parties to contact us as soon as possible."

KEL is a subsidiary of Kaiam Corporation, a US-based organisation which manufactures parts used for high-speed data transfer between multiple servers at data centres.

The parent company is not affected by the appointment of administrators at its European operation.

In 2014, the firm was given a £850,000 Scottish Enterprise grant to relocate some of its production from a site in China to Livingston.