One of the North East鈥檚 best known global businesses looks set to go out of existence before the end of the month after administrators signalled that efforts to avert mass redundancies had foundered.
Administrators were called in to Darlington鈥檚 Cleveland Bridge in July after delays to construction projects in the 海角视频 and abroad during the pandemic put it in financial difficuilties.
But they have tonight issued a statement saying that efforts to find a new owner have not succeeded. As a result the company is likely to shut in a fortnight, with the 104 remaining staff, plus 29 on furlough, to be made redundant.
Read more : go here for more North East news
The company, known for its work on the Sydney Harbour Bridge and Middlesbrough鈥檚 Transporter Bridge, as well as London鈥檚 Shard and Wembley Stadium, dates back to 1877 and was employing more than 300 staff before the administration.
It is part of the Saudi Arabian Al Rushaid Group and was said to have a healthy order book.
The statement from administrators FRP said talks with a potential purchaser had not progressed to the point where the buyer had shown the ability to proceed.
They said talks would continue but it was preparing to end production within a fortnight. If no rescue deal could be struck, 104 staff on site and 29 on furlough would be made redundant when production ends.
Martyn Pullin, partner at FRP and joint administrator of Cleveland Bridge 海角视频, said: 鈥淲e 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.
鈥淩egrettably, 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.鈥
In a joint statement from Darlington MP Peter Gibson, MP for Sedgefield Paul Howell and Tees Valley Mayor Ben Houchen, they said: 鈥淲e are deeply saddened to learn this evening of the plans to make 30 more employees of Cleveland Bridge redundant with the prospect of the business closing completely once the current productions are complete.
鈥淐leveland Bridge, as a great company, was brought to its knees by a disinterested, callous and detached owner and a very poor senior management team incapable of managing such a prestigious company. A perfect storm that has led the company into this irrecoverable position.
鈥淥ver recent weeks we have worked day and night to find any solution that could save the business. Unfortunately despite meeting with numerous potential investors and working with various contractors to give the company a chance it looks likely that this work has been in vain.
鈥淲hilst Cleveland Bridge may disappear, the structures it created around the world and the incredible talent and ability of the workforce will stand as testament to what this region, it鈥檚 people and our community stand for.鈥
GMB union organiser Chris Preston said: 鈥淭he administrator has informed us the only interested party in purchasing the site as a going concern has so far failed to provide the proof of funds to proceed with the sale.
鈥淯nless this position changes in the coming days 鈥 which appears highly unlikely 鈥 they are now preparing to issue notice to employees in the coming weeks, once they cease production on the current work on site.
鈥淭here are currently around 100 staff working on site and around 30 currently on furlough 鈥 53 staff were made redundant last month.
鈥淕MB met with members after the announcement. It鈥檚 a devastating blow to the loyal and skilled workforce of both Cleveland Bridge and the local area.
鈥淲e will meet with members again on September 13 to discuss next steps.鈥
