74 jobs at risk as alloy wheels firm enters administration

Rimstock in Ridgeacre Road employs 74.

No redundancies have been made while options, including the sale of the business as a going concern, are explored.

Chris Pole and Ryan Grant from Interpath Advisory were appointed joint administrators on July 5.

Rimstock supplies into some of the world’s most prestigious automotive original equipment manufacturers.

The Company is the only manufacturer in Europe with specialist rotary forge capabilities, which allows the business to produce stronger and more complex wheel designs.

Rimstock is said to have been facing financial difficulties over the last 12 months and as a consequence, management engaged Interpath as advisors to support in ongoing discussions with key stakeholders and investors in an attempt to secure funding for the business.

Unfortunately, these negotiations were unsuccessful and without additional funding, management took the decision to place the company into administration.

The administrators are working with management and the company’s key customers to establish the level of support for ongoing trading. They are also continuing to review all of the options for the business and any parties that wish to express an interest are advised to contact the joint administrators as soon as possible.

Mr Pole, managing director at Interpath Advisory, said: “Rimstock is the UK’s only alloy wheel manufacturer, supplying into some of the world’s best-known luxury car brands. Unfortunately, however, the many challenges facing industrial manufacturers across the country, including rising raw material costs, have proved to be insurmountable in this particular case.

“Our immediate priority is to understand customer requirements for future supply and assess whether there is any interest in the business as a going concern.”

Interested parties are advised to contact Sam Greatorex at Interpath Advisory via sam.greatorex@interpathadvisory.com

Rimstock, which was incorporated in 1985, supplies some of its wheels to the motor sport sector.

It was badly hit by the Covid-19 pandemic. It was shut for an extended period and its aluminium smelter was then closed down resulting in the loss of 135 skilled jobs. It has since seen a decline in sales.