Wednesday 10 February 2016
Digger bucket manufacturer exits administration saving more than 100 jobs Thos Storey Fabrications, a steel fabrication firm specialising in the manufacturer of buckets and shovels for construction and materials handling machinery, has been bought out of administration, saving more than 100 jobs.
The firm, which is based in Openshaw in Manchester, produces parts for businesses including Caterpillar, JCB and Terex. It enjoyed a turnover of £27m in 2007, but seven years later sales stood at £11.5m. Orders continued to decrease during the second half of last year, resulting in Begbies Traynor being appointed as administrator.
According to a report by The Business Desk, the firm is now under the control of a new business headed by corporate financier David Houghton, founder of the Chester-based accountancy firm Bridge Houghton. Paul Stanley, managing partner of Begbies Manchester office and joint administrator, said: "This type of assignment typically arises just before the holiday period and requires urgent attention due to the critical cash flow position.
"All December wages were covered pre-Christmas and we were able to successfully complete a sale of the business as a going concern shortly after our appointment. This has protected over 100 Manchester-based jobs and should secure the long-term future of this reputable, well-established business.
"There has been a trend over recent years for manufacturing businesses to be relocated overseas which in my view can't always be right for the local economy. It is good therefore to see local investors having the faith to finance the rescue of this business through the administration process."