Considered one of Britain’s greatest metals recycling companies is scrambling to discover a purchaser inside days because it tries to salvage the way forward for its 650-strong workforce.
Unimetals operates 27 websites throughout the UK, gathering, processing and shredding metallic waste to provide uncooked supplies for copper, aluminium and metal producers each in Britain and overseas.
A Whitehall supply mentioned the federal government was monitoring the disaster on the firm due to its function, particularly, within the UK’s metal provide chain.
Alvarez & Marsal (A&M), which has been advising the corporate, is on standby to be appointed as administrator, probably within the coming days.
Nonetheless, business sources mentioned numerous viable provides for Unimetals had been anticipated to be submitted forward of Wednesday’s deadline.
Unimetals accomplished the £195m buy of rival Sims Metals final yr, however is reported to have didn’t make a minimum of one deferred fee as a part of the transaction.
In a press release issued final week, a Unimetals spokesperson mentioned: “In recent months we have been working to refinance and recapitalise Unimetals Recycling (UK) Ltd to create additional liquidity and address the deferred consideration due to Sims.
“It was lately confirmed to us that our foremost new investor wouldn’t take part on this funding spherical, regardless of the transaction being in close to ultimate type.
“The company’s goal is to secure investment to ensure the continued stability of operations and protect the long-term interests of employees, creditors, customers, and suppliers.”
