Automotive remanufacturing business Remy Automotive UK has gone into administration, with Quantuma Advisory acting as administrators.
Remy Group operates globally, with its UK arm looking after the country’s sales and distribution efforts. Its sister company is located in Belgium and supplies and distributes Remy products throughout Europe.
The group’s manufacturing facilities are based in Tunisia and Hungary. Quantuma is also engaged as restructuring and M&A adviser to Remy in Tunisia and is working closely with colleagues in Belgium and Hungary.
Remy Automotive Group was funded by US corporate and private investors, who helped Remy accelerate its growth plans and establish itself as a leading brand name across the industry. However, having injected a substantial amount of emergency working capital throughout the covid-19 pandemic, investors were unable to continue funding the business and withdrew support earlier this year.
Administrators are dedicated to rescuing the business. Paul Zalkin, lead administrator and a Managing Director at Quantuma advisory Ltd said: “There is, undoubtably, a fundamentally sound and viable re-manufacturing sales and distribution business within the Remy group, of which Remy Automotive UK is an important part. Historic group wide balance sheet issues can now be overcome using insolvency processes to restructure the assets. Working alongside my counterparts in Belgium, Hungary and Tunisia, I remain hopeful that it will be possible to rescue significant parts of the group”.
Quantuma stated they have received a number of expressions of interest, and are continuing efforts to find new investors for the business.
