Cosalt, the marine safety business based in Grimsby, has today asked RBS and HSBC to appoint administrators. In a statement to the stock exchange they said that they had been unable to find alternative sources of funding to deal with their £17m
Cosalt said it expected administrators to be appointed "imminently" and that following appointment, the administrators will look to sell its assets, including the shares in Cosalt Offshore and Cosalt Workwear, in order to minimise potential losses to the company's creditors.
An agreement for the sale of the shares in Cosalt Offshore has been negotiated with Dunwilco (1793), a company backed by NBGI Private Equity, the majority shareholder of ATR Group.
It is understood that Cosalt Offshore is to continue trading as normal.
The Cosalt Workwear business will be unaffected and will not be placed into any insolvency process.