Portland complete sale of local firm with global customers base

South Coast’s leading Business Recovery firm Portland has successfully completed the business sale of Isle of Wight based Solent Composite Systems Limited, whose customer base extends to China, India and Brazil and clients include BP, Harsco and Total.

Portland were appointed administrators of Solent Composite Systems at the end of January and have since been marketing the business for sale in order to maximise the return to the creditors. Portland was able to use its extensive experience in rescuing and selling businesses which resulted in a sale of the business at the end of February.

Solent Composite Systems

Solent Composite Systems designed and manufactured products for wind turbine rotor blades and fire and blast protection for the oil and gas industry had been trading since 2004.  An expansion into overseas markets was successful, but falling oil prices and overdue invoices led to a drop in turnover which in turn increased debt and ultimately compromised day to day trading.  After an attempt to raise investment did not materialise and a management buyout could not be achieved, the company ran out of cash.  The directors were advised to place the company into administration in order to protect its overall position.

Portland Director Nicola Layland commented:

“We could see from the outset that although Solent Composite Systems Limited had some financial and cashflow issues, there appeared to be an underlying viable business which could be sold if separated from its historical debt. The strategy we decided to adopt was to immediately take steps to market the business for sale.  We received expressions of interest and were able to achieve a swift sale, which will result in a return to the creditors of the company.”