Cleveland Bridge to close as hunt for buyer fails
Attempts have failed to find a buyer to run collapsed steelwork contractor Cleveland Bridge UK as a going concern.
Administrators from insolvency practice FRP have given up hope of salvaging the business and today announced they will now proceed with a property and assets sale leading to the liquidation of the historic bridge builder.
Redundancies will also now start among the remaining 133 staff as resumed production winds down altogether over two weeks.
FRP said 104 staff were currently working on site, while a further 29 employees were furloughed.
Administrators had always been hopeful of finding a buyer to save the business, which collpased on 22 July.
On 9 August, production was restarted after terms were agreed with customers, giving the remaining workforce a glimmer of hope that their jobs could be saved.
But despite talks with several interested parties from across the globe, seven weeks of searching and talks ultimately proved fruitless.
Martyn Pullin, Partner at FRP, said: “We have worked tirelessly in the hope of finding a buyer who would continue to operate Cleveland Bridge as a going concern, running a thorough and extensive sales process.
“However, with no current viable offers remaining to take the business on, we must now prepare for a property and asset sale.
“Regrettably, production will finally end on site later this month. Our specialist employment team will continue to work closely with the staff, their representatives, Unions and the council to support all the workers through what we know has been an extremely challenging time.”