A North-East based engineering business has been bought out of Administration in a deal that safeguards more than 120 jobs in the region.
Keith Marshall and Steve Ross of RSM Restructuring Advisory LLP were appointed Joint Administrators of Altec Engineering Limited on 29 June 2017.
Altec Engineering, headquartered in Bowburn, Co. Durham is involved in the design and manufacture of automation equipment and in the machining of high precision component for the aerospace, defence, oil & gas and other leading industrial markets.
Following the appointment of joint administrators, Altec’s engineering business and assets were sold to an MBO team while another Altec group company, Ronco Engineering, was sold to the same team in a solvent share transaction. The combined deal safeguards over 120 jobs in the North East of England.
The sale of both businesses allows a new smaller group of companies to obtain further investment as they seek to grow and improve both sales and profitability. The new group will continue to trade using the Altec name.
Keith Marshall, joint administrator and the RSM partner, said: “This was a challenging transaction to deliver within a tight timescale, but the deal will safeguard two regional businesses, and importantly, 120 jobs in the North East.”
Lawyers at Irwin Mitchell worked alongside RSM and the Administrators as the legal advisors and helped to successfully deliver a time critical transaction.
Partner Andrew Walker said: “Safeguarding so many jobs is a great result and we are delighted and proud to have worked on this deal. The timeframe for completion was very tight, but the experience and expertise of both our team and that of RSM’s ensured that a speedy resolution and positive outcome was achieved.”
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