A historic yarn firm in Dundee has entered administration for the second time in six months, leading to all of its staff being made redundant.
All 57 workers of Newman Bonar have lost their jobs after it was confirmed to have collapsed on Thursday.
It comes after administrators were called to Bonar Yarns in April after the 120-year-old company was hit by “cash flow problems”.
The Dundee firm, which was founded more than 100 years ago, specialises in polypropylene carpet backing yarns.
The business was saved by US-based investor John Newman, the owner of Elite Turf USA, and was renamed Newman Bonar following its acquisition.
However, the new company has been placed into administration due to “trading difficulties”.
Interpath Advisory’s Blair Nimmo and Geoff Jacobs have been appointed as joint provisional liquidators to Newman Bonar.
Blair Nimmo, chief executive at Interpath Advisory and joint provisional liquidator, said: “This has been a well-known Dundee business for many years with a strong global reach, and it is extremely disappointing for the company’s many stakeholders, funders, and employees that it could not continue to trade viably.”
Geoff Jacobs, managing director at Interpath Advisory and joint provisional liquidator, added: “This is indeed very disappointing for Dundee City to see the closure of a long-standing business.
“Our focus will be on supporting the employees affected and securing and realizing the assets of the company, which primarily comprise its name, customer base, stock, plant, and machinery.
“Clearly, it would be great to see the business continue in some manner, and therefore, if any party has an interest in acquiring the business and/or its assets, they should contact the joint provisional liquidators as soon as possible.”
STV News is now on WhatsApp
Get all the latest news from around the countryFollow STV News
Follow STV News on WhatsApp
Scan the QR code on your mobile device for all the latest news from around the country