Specialist lighting manufacturer Riegens Lighting Ltd has entered administration and will begin a restructuring process.
Jason Baker and Geoffrey Rowley of FRP Advisory were appointed to the subsidiary of Danish-based Riegens Group Denmark (RGD) on 5 August 2013.
Claus Jarlgaard Jensen, chief executive of RGD, said: “The reason for the administration filing was a wish from Riegens to secure a continued and strong presence in the UK market for Riegens through a restructuring of Riegens Lighting Ltd.”
The company, located in Braintree, Essex, manufactures energy efficient lighting fixtures.
Most recent available figures for the company (year to December 2011) show an increase in both turnover and employees at the company, up 3.6% and 9.5% respectively, although post-tax profits declined 46% to £691,472 compared with 2010.
Jensen said: “Riegens has been through a number of changes during the last couple of years, which have all had a positive impact on Riegens Lighting, however we realised, that a more extensive restructuring was required.
“We went through a number of different options together with our advisors and were eventually advised, that the best way of restructuring Riegens Lighting was to have an administrator appointed, who could assist in the restructuring process on the basis of a going concern.”
Jensen was quick to clarify that the company will continue to trade in the UK throughout its administration.
He explained: “We see a great potential in this market not only for traditional lighting solution but also for LED solutions. We have a very strong presence in Denmark, rest of Scandinavia and a number of export markets for LED solutions, which we would like to use productively in UK.”