Angus has been dealt a devastating jobs blow with the collapse of historic Arbroath heavy engineering firm John M Henderson.
Shocked workers at the Kirkton Industrial Estate-based firm were told they were being made redundant after being called to a meeting on Friday afternoon. Almost 90 jobs will be lost.
Joint administrators Blair Nimmo and Geoff Jacobs of KPMG have been appointed to handle the company’s affairs and six of the 94-strong workforce have been retained on an interim basis to help in the winding up process.
KPMG will attempt to find a buyer for the business as a going concern or move to sell off its assets in order to recoup any cash left within the business.
Henderson executive chairman Alistair Lauchlan confirmed the company’s demise but would not comment further on the situation.
The firm is one of Arbroath’s main employers and its future appeared bright in January when it secured a $7 million contract to manufacture and supply two industrial charging cars for global steel conglomerate ArcelorMittal.
The deal was expected to provide up to 18 months of work for the company and the firm was also looking for new opportunities within the oil and gas sector.
However, The Courier understands that significant volatility in the steel market in recent months was a key factor in the firm’s downfall.
Henderson’s was founded in Aberdeen in 1866. The firm moved to Arbroath in 1985.