157 employees have been made redundant at the Rotherham-based company after a problematic overseas contract caused losses and cashflow issues.
Joint administrators, John Sumpton and Hunter Kelly, from Ernst & Young have been appointed to take control of the engineering firm while trying to find a suitable buyer and continue outstanding projects. The company specialises in manufacturing metal productions for the construction industry and the military.
Sumpton said, “Despite best efforts to secure new investment or a sale of the company, the immediate cash flow pressures left MTL Group unable to meet its creditor obligations and the directors took steps to appoint administrators.”
“We are assessing our options to keep the facility operating in the short term whilst seeking a buyer for the business and are continuing to provide product to certain customers. We would encourage any interested parties to come forward.”
157 employees have been made redundant while 146 have been kept on to assist with current operations.
We are not involved in the administration and questions should be directed to Ernst & Young who are handling the administration.
If you are an employee of the business, please listen to the video below as it will tell you your rights as an employee of an insolvent business. There is a link at the end of the video to the Government website which expands further on what you need to know.