Massive electronic business folds

Cemtron is one of Scotland's largest electronic manufacturing services

One of Scotland's largest electronic manufacturing service businesses, in Fife, has gone into administration.

Cemtron, the Dalgety Bay-based company, employs 153 staff. There have been no redundancies.

The company, which has a £16m turnover, recently suffered trading losses and cash flow and funding difficulties.

Administrators Tom Maclennan and Kenny Craig, of Tenon Recovery, will continue trading as Cemtron and are seeking a buyer for the firm as a going concern.

The business specialises in an end-to-end electronic manufacturing service, providing clients with the technology, infrastructure and necessary skills for electronic assembly, product build and testing.

Cemtron is a highly-regarded specialist contract electronic manufacturing service business with a very good client base and a skilled workforce Tom Maclennan Joint administrator

Much of the business is for export. Cemtron also has a supply chain office and logistics operation in Hong Kong and a strategic relationship with Daiwa, China.

The company was established in 2000 and the current management team acquired it through a management buyout in October 2005, although the roots of the business in Scotland's electronics sector extend consistently further back.

Mr Maclennan said: "Cemtron is a highly-regarded specialist contract electronic manufacturing service business with a very good client base and a skilled workforce.

"The company has grown steadily, has good penetration into its markets, a strong order book and considerable potential for further growth.

"We are currently undertaking a review of the business. Despite the current problems affecting the company, we think it presents a good opportunity for an acquisition or for another business looking to expand into the growing electronic manufacturing service sector."

Robin Presswood, Fife Council development manager, said: "We have been in regular contact with the company over the past few months and will be contacting the administrators and the management team to discuss any assistance that the council may be able to offer. I welcome the fact that there have been no redundancies."