Mixed success for KPMG corporate recovery
KPMG's corporate recovery team has reported mixed fortunes for two Scottish businesses.
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Animal and food waste processor Dundas Brothers has entered provisional liquidation, with the loss of 63 employees. Blair Nimmo, head of KPMG corporate recovery in Scotland, has been appointed provisional liquidator.
Dundas suffered significant trading losses following the impact of BSE and foot & mouth outbreaks, which resulted in trading restrictions. Additionally, there was a requirement for significant investment in the plant and machinery in order to comply with Scottish Environmental Protection Agency requirements, but Dundas directors were unable to secure the extra funding needed.
Nimmo said: ‘The directors approached a number of parties but were ultimately unsuccessful and had no option but to accept an offer to sell the assets of the business and place the company in liquidation.’
On a more positive note, Nimmo and compatriot Neil Armour sold Laurencekirk-based Brumac Engineering in an MBO for an undisclosed sum. Brumac’s former managing director, Dr Bruce McLeod, will lead the engineering controls panel manufacturer.
‘We are pleased to have achieved such a prompt and successful sale of the business as a going concern saving skilled jobs,’ said Nimmo.