Aberdeen-based offshore accommodation specialist Consafe Engineering Services has gone into administration.
The company, which employs 34 people in the Granite City, has been placed in administration with its Tyneside-based parent McNulty Group Holdings.
KPMG was appointed as liquidator yesterday and said the situation was the result of the uncertain economic environment, but said it was confident that McNulty and its subsidiaries, including Consafe and McNulty Offshore Construction, could be sold.
None of the Aberdeen-based staff has been made redundant, but 100 of the 132 employees in South Shields have been let go. Mark Firmin, joint administrator and KPMG’s head of restructuring in north England, said: “While this business has struggled with tightening global trading conditions for some time, it has a long history of delivering successful projects.
“This, teamed with its prime freehold Tyneside location, give us reasons to consider it an attractive acquisition opportunity. Therefore we are marketing the business and are hopeful of securing a sale.”