A Lincolnshire manufacturing business has been saved and jobs preserved following its fall into administration.
Gareth Harris and Deviesh Raikundalia of RSM UK Restructuring Advisory LLP were appointed as Joint Administrators of MTAG Composites Limited, MTAG (Holdings) Limited and Electric Future Group Limited on 12 July 2024.
Based in Coningsby, MTAG Composites is the trading company in the group which manufactures composite parts for the rail, aerospace, automotive, construction and leisure sectors.
Following RSM’s appointment, the Joint Administrators temporarily ceased operations to assess the position, but since 19 July have continued to trade the Composites business with the support of its highly skilled workforce and key customers whilst seeking a sale of the business and assets.
As a result of that process the business and assets of MTAG Composites Limited were sold on 14 November 2024 to a new entity, GRP Alliance Limited which intends to continue to trade from the existing site in Lincolnshire without interruption and who have a first option to purchase the assets of MTAG (Holdings) Limited within the coming months.
RSM was advised by Sarah Foster, Natalie Bromley and Jawad Ilyad from Addleshaw Goddard solicitors, with support from Sanderson Weatherall agents.
Deviesh Raikundalia, Restructuring Advisory Director at RSM and Joint Administrator, said: “We are delighted to have preserved specialist employment in the local economy, and completed the sale of this well-respected business.
“We also welcome the new investment that the purchaser is providing for MTAG, which ought to secure its long-term future and create a platform for growth. We are particularly grateful to the loyal staff, customers and other stakeholders who have supported us during our trading period given the uncertainty of the outcome following our sudden appointment.”
