A longstanding Sheffield engineering company has been rescued from administration – saving all 16 jobs – due to the “quality and potential” of its highly-skilled staff.
Ewen Engineering has been snapped up by investor Yasar Khan, who put in the best offer of two bids.
Mr Khan is a Surrey-based accountant with experience buying engineering firms and it is understood he plans to invest in the company and create jobs to work on a new project for the automotive sector. It is set to ramp up to full production over the next two years.
Works manager, former managing director, Richard Clack said: “I think the entire workforce is pleased. Without a buyer the business would have been closed and sold.
“It’s all about the skills. Some 75 per cent of what we produce is exported to manufacturers outside the EU, in Pakistan, Brazil, India, Turkey and Dubai where they struggle to match the parts we make.”
The company, which was set up in 1970, makes and tests a wide range of products from single components to full assemblies.
An Indian firm bought it two-and-a-half years ago but never invested, despite moving it to larger premises on Tinsley Industrial Estate, Mr Clack said.
Earlier this year he said he warned them it was running out of cash. The owners called in administrators in August.
It was run as a going concern by Bridgewood Financial Solutions and sold on October 2.
Administrator Louise Freestone said: “We prefer to preserve jobs and keep a business going. This is great for Sheffield and staff certainly.
“A lot of it is down to how great the staff have been during the trading period. The business is attractive due to the quality of products and the skills and experience of staff. Customers have said how great they are and we could see the quality and potential.
“We were confident there would be interested parties and we found a buyer keen to grow the business.”
The old company went under owing almost £240,000, it was not yet known if creditors would get a dividend she added.