Russian sanctions force Calecore into administration
Insolvency practitioners from Price Bailey called in as Calecore, a firm specialising in offshore site investigations, enters administration
ADMINISTRATORS from Price Bailey have been called in to Calecore after the specialist in offshore site investigations entered administration to protect its assets.
Matt Howard and Paul Pitman were appointed joint administrators on 23 March after the offshore firm, which has operations in Russia, Norway and Singapore encountered difficulties as a result of US and EU sanctions against Russia.
The sanctions resulted in later and smaller payments on a large project in the Kara Sea for Exxon & Rosneft. This was compounded when a 50% shareholder in the business withdrew the majority of its loans upon final collection of the Russian funds.
Price Bailey said that 50 staff employed by the company will be made redundant but that 17 core admin staff, together with a number employees with experience in relation to the operational side of the business will be retained.
The administrators have begun to contact Calecore’s creditors regarding any claims and hope to sell at least part of the business on an ongoing concern basis.
Matt Howard joined Price Bailey from BDO last month.