Manufacturing firm, Penman Engineering, has called in the administrators after seeing a significant fall in turnover. The company was also unable to secure a major contract in time and after several attempts to restructure and improve the situation, the Dumfries-based firm felt there was no other choice but to call in the administrators.
According to reports, the company is £3 million in debt after struggling to operate with a 30% drop in sales. Specialising in armoured vehicles manufacturing, Penman has worked with Ministry of Defence, NATO and G4S.
The administrator, Armstrong Watson, was appointed on Wednesday and has since been looking for a suitable buyer.
Joint administrator, Mark Ranson, said “We are currently focused on enabling the business to continue to trade during the administration process, in order that we can seek a sale of the business in order to preserve the maximum number of jobs.”
“We have already identified a considerable number of prospective purchasers and will be speaking to them over the next few days.”
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. We are not involved in the administration and questions should be directed to Armstrong Watson who are handling the administration.