Sat, 01 Dec 2018 | ADMINISTRATION
Following cash problems due to an extended closure, CairnGorm Mountain Funicular Railway has gone into administration.
The operator of the railway and associated visitor attractions is based in the Cairngorms near Aviemore and has been owned by the public agency Highlands and Islands Enterprise (HIE) since 2008. The company has been shut for almost two months due to an investigation concerning the structure supporting the tracks. Since the closure, specialist engineers have been busy conducting a detailed structural assessment.
Chief executive of HIE, Charlotte Wright, said: "Our first priority is staff members and their families, as well as other local people who will be affected by this decision.
"Clearly, this is not the outcome that anyone wanted when CML became the operator. However, with local support, we are confident that the situation can be turned around and we will see Cairngorm flourish again as a fantastic asset for this area, its economy and its people."
Partners at Campbell Dallas, Blair Milne and Derek Forsyth, have been appointed as joint administrators. The business will continue to trade until a buyer is found. Discussions are currently underway with a potential purchaser.
Milne said: “Due to the extended closure of the Funicular Railway at Cairngorm Mountain, for safety reasons, the business has become unsustainably loss-making. The directors of the business had been in discussions to try to find suitable solutions, including a managed transfer of the business to another party, however those negotiations did not progress. Under mounting cash flow and creditor pressures the Directors were left with no alternative other than to place the business into administration. The joint administrators will be seeking to achieve a sale of the remaining business on a going concern basis as early as possible.”
The railway operator first opened on Christmas Eve in 2001 and currently carries around nearly 300,000 tourists and sports visitors every year.
For all our administrations listings, click here. For more news stories about administrations click here.
Highly regarded business operating for over five years. Operates a range of plastic reprocessing systems to produce high-quality plastic feedstock, serving clients within the UK and Europe. Continues to invest in a range of plant and machinery, inclu...
FREEHOLD
A successful architectural practice operating for over eight years. Offers a complete architectural solution, managing a variety of commercial projects and overseeing RIBA work stages 1 through to 7.
LEASEHOLD
The company specialises in the provision of reliable cleaning services, ensuring that standards of hygiene and cleanliness are maintained to an exceptionally high level.
LEASEHOLD
|
27
|
|
Oct
|
HomeServe acquires emergency home repairs firm at 13.6x EBITDA | BUSINESS SALE
Home repairs and improvements firm HomeServe has completed t...
|
26
|
|
Oct
|
Lancashire pub with listed windmill up for sale for £325k | COMMERCIAL PROPERTY
The Windmill Tavern in the Lancashire village of Clifton, wh...
|
26
|
|
Oct
|
Over half of UK firms struggling with “toxic debt” | BUSINESS NEWS
According to the latest research by restructuring firm Begbi...
Sign up to receive our acquisition alert emails to get your FREE guide
|
12
|
|
May
|
Oban-based construction contractor goes into administration | ADMINISTRATION
Scottish construction business Neil McGougan Limited has gon...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources