UK distributor, Misco, has gone into administration (equivalent of the US Chapter 11) after a late attempt to sell the company to PCM of the US failed. The company was the subject of a winding-up petition by the UK’s tax authorities over unpaid VAT. The administration only applies to the UK and the operations in Italy, Spain, the Netherlands and Sweden will continue to trade as normal.
300 of the 330 staff have been made redundant.
The company had been bought from its parent company in March and although a lot of cost had been taken out of the business, a change in credit insurance terms caused a rapid deterioration in cash flow, according to CRN.
