Trackwise set to appoint administrators
Trackwise Designs, the Tewkesbury-based manufacturer of specialist products using printed circuit technology, has filed a notice of intention to appoint administrators.
The company told investors on Tuesday (July 25) that administrators would be appointed while it sought a buyer for the company – a decision revealed on Monday.
Trading in shares of the Tewkesbury-based manufacturer was suspended on the Alternative Investment Market (AIM) at the London Stock Exchange earlier this month pending the publication of the company's annual audited accounts.
Read more: Tewkesbury's Trackwise puts itself up for sale as orders fail to materialise
Trackwise said its 2022 audit was delayed due to the intensive demands on its management team and the need to address the impact of delays with an existing electric vehicle OEM customer.
In May the company sold subsidiary Stevenage Circuits, which it had acquired in 2020 in order to boost its balance sheet. The move followed the appointment in January of Andrew Lapping as Non-Executive Chairman after a tough period of trading.
But on Friday the company announced that after working with a Tier-1 manufacturer for more than a year on the opportunity to supply it with cell connection system flexible printed circuit assemblies for onward assembly and supply to another manufacturer, Trackwise was advised by the Tier-1 manufacturer that it had not been successful in securing the business.
With revenue avenues shrinking, Trackwise's Board concluded to sell the business.
In a statement, the company said: "On 24 July 2023, the company announced the decision of the board to pursue a sale of the Company's trading operations.
"Whilst this sale process has just been initiated, due to the group's current financial uncertainty and in light of increased creditor pressure, following discussions with its advisors the board has resolved to today file a notice of intention to appoint administrators to the company.
"Unless circumstances change, the board intends in due course to appoint administrators in accordance with statutory requirements.
"Trading in the Company's ordinary shares on AIM remains suspended pursuant to the notice of 03 July 2023."
Trackwise Designs has the ability to manufacture almost limitless-length, multi-layer flexible printed circuits.
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In 2021, it broke its record for manufacturing the longest multi-layer flexible printed circuit.
At an incredible 72 metres in length, it was designed for an industrial application using Trackwise’s patented Improved Harness Technology. Trackwise’s flat printed circuits are much lighter in weight and smaller in size than the traditional, multi-coloured wire harness bundles.
That year Trackwise also purchased and began fitting out a 77,000 sq ft freehold property at Stonehouse in Gloucestershire. The company employs more than 100 people at its Tewkesbury headquarters.
