Hardware and ironmongery manufacturer Avocet Hardware has gone into administration today (January 23).
Andrew Stoneman and Ben Wiles, of financial advisory and investment banking firm Duff & Phelps, were appointed Joint Administrators.
Avocet, which was purchased by the current management team in a private equity backed management buyout in November 2007, operates through three UK divisions: Builders Hardware, a Door & Window Hardware division and a High Security Lock division. Avocet employs a total of 150 people.
Stoneman said that in December 2011, Avocet sold its loss making Chinese factory, which made products for the Door & Window hardware division. "The financial performance of the company in recent years has been adversely impacted by losses from the Chinese operation and by the insolvency of a major customer.
"Discussions are on going with a number of different parties who wish to acquire all or parts of the business. We are actively trying to identify a buyer and to rescue the jobs of the employees, " he concluded."
Avocet director Ian Jones said: "This has been a tough trading period as we have experienced a major contraction in the UK DIY market compounded by the insolvency of one of our largest clients. We are hopeful a buyer will be sought and we are working closely with Duff & Phelps to ensure we reach a satisfactory outcome for all concerned."
Avocet operates out of a freehold property in Brighouse in West Yorkshire, which comprises of a 90,000 square foot warehouse, a 33,000 square five story mill and an 11,000 square foot reception/showroom.