A group of Scottish shipbuilding companies trading from the Newark Works in Port Glasgow have gone into administration after failing to obtain new contracts. This added to the already suffering cashflow.
Newark Joiners Limited, Ferguson-Alisa Limited and Ferguson Shipbuilders Limited called in administrators last Friday (15th August). Blair Nimmo and Tony Friar of KPMG were appointed.
Ferguson Shipbuilders was founded in 1902 and was involved in engineering, power distribution, joinery and system hydraulics, among others. The group of companies operated on the River Clyde.
While administrators are looking at all viable options, including a sale of the business and assets, 77 members of staff have had to be made redundant.
Joint administrator, Nimmo said, “The group’s infrastructure and unique offering has earned it global success in recent years, principally from the building of two “world first” diesel hybrid ferries. However, a lack of significant orders and mounting cash flow pressure has led to the group’s inability to continue trading”.
“We would like to thank staff for their co-operation during this difficult period. We will be working with employees and the relevant government agencies to ensure that the full range of support is available to all those affected.”
UPDATE: 20th August – KPMG have announced a closing date for offers for the business and assets. Interested buyers will have up until 5pm Thursday 21st August. Contact joint administrators, Blair Nimmo and Tony Friar, for more information.
UPDATE: 11th September – Ferguson Shipbuilders has been successfully bought out of administration by Clyde Blowers Capital and all staff will be rehired over the next few months. The new company is called Ferguson Marine Engineering Ltd. Fantastic news for the business and employees!