Deloitte announce redundancies at Powa Technologies
Big Four firm says it will "continue to search for a buyer for all or parts of the business"
DELOITTE – administrators to Powa Technologies Group – has announced that 74 people from the beleaguered company’s UK head office have been made redundant.
The Big Four firm – which was appointed as joint administrators last month – said that it would “continue to search for a buyer for all or parts of the business”, but “regrettably it has not been possible to continue running the company at its current capacity”.
Problems at the mobile payments firm came to a head in January when reports emerged that it wasn’t able to pay all its staff when new funding streams could not be agreed.
Shortly after, on February 17, its biggest investor, Wellington Management, called in its outstanding loans and Deloitte were appointed.
Now, lawyers acting for the administrators have asked ex-Powa employees to avoid sharing any intellectual property with its former management, the Financial Times, reports.
Rob Harding, joint administrator and partner in Deloitte’s restructuring services arm, said that there is still “real interest in the business”.
“We are talking to a number of potential buyers and looking to implement a sale as soon as possible. We are working closely with existing management, and keeping staff and other key stakeholders informed of these fast-moving developments.”
Deloitte were appointed as administrators to Powa Technologies Limited on 22 February 2016.
The wider Powa company employed around 300 staff globally.