Aberdeen paper mill look to appoint administrators
Sequana, the owners of Stoneywood Mill has confirmed that it has filed a notice of intention to point administrators after the sale of the historic mill collapsed. A notice of intention to appoint will give the company a 10 day breathing space and protection from creditors to see if new funding or a new buyer can be found. Usually it does normally result in the company going into administration as there has to be a real intention to appoint as opposed to just trying to buy more time.
In a letter to MSP Mark McDonald, Scottish Business Minister Jamie Hepburn confirmed the news.
The independent MSP said: “Stoneywood Mill has a long and proud heritage.
“I will be seeking to discuss these matters with management and will also be asking the Scottish Government to do everything in its power, via its agencies, to help secure a future for the business and the people who are employed there.”
A spokeswoman for Sequana said: “Following the receivership proceedings opened in France at the request of Arjowiggins and some of its subsidiaries, the boards of directors of some of Arjowiggins’ companies in the UK have decided to file notices of appointment of an administrator for the following companies AW UK Holdings Ltd, Arjo Wiggins Fine Papers Ltd, ArjoWiggins Chartham Ltd, AW UK Holdings Ltd, Arjowiggins Sourcing Ltd, Arjobex Ltd and Performance Papers Ltd.
Categories: Notice of Intention to Appoint Administrators
Worried about poor cashflow? Covid-19?, How to pay wages on pay day? For expert advice on a range of issues download our free Ultimate Guide For Worried Directors today. Or just call us on 0800 9700539
Please note that the guide was mostly written pre Covid-19 and there have been some changes to insolvency legislation that limits creditors actions and relaxes rules regarding wrongful trading. A new 20 day moratorium for distressed businesses has also been introduced.