Oil service company Screw Conveyor has gone into administration, but there are hopes that a buyer for the business will soon be found.
Ian Defty and Charles Turner, partners at insolvency and restructuring firm CVR Global, were appointed administrators following a hearing in London yesterday.
Mr Defty and Mr Turner confirmed that none of the 12 employees at Screw Conveyors had lost their jobs.
The administrators said they were exploring options to sell the business while it is still trading.
Mr Turner said: “We are actively looking into the sale of the business on a going concern basis, enabling the business to continue trading and preserving the employment of staff members.
“We hope to conclude a sale in a short space of time.”
Screw Conveyor specialises in explosion-proof equipment and associated fabrication services for operators and drilling and engineering contractors working onshore and offshore.
Read more: Stodart’s Screw Conveyor facing administration
Scottish businessman John Stodart and Duncan Lawrie Offshore Services (DLOS) are listed as having significant control of Screw Conveyor. Mr Stodart has a majority stake, while DLOS owns between 25% and 50%.
Accounts published in December for the year to March 31, 2016, show the company had net assets of just over £1million.
The statements were signed off by former managing director Garry McCraw, who left the business in February after just six months in post.
The accounts also show Ensco 374 is the ultimate parent of Screw Conveyor. Companies House lists Mr Stodart as the majority shareholder of Ensco 374.
Mr Stodart previously owned two Dundee firms which collapsed. In 2015, builder Muirfield Contracts went down suddenly, with the loss of nearly 300 jobs, while earlier this month liquidators were appointed to Scottish Electric Group, where 100 contractors were made redundant.