UK motor-maker Saietta enters administration
The British electric motor developer and manufacturer, Saietta, has entered administration after failing to find a buyer for a production line in Sunderland after a deal to manufacture electrical steering pumps there under contract fell through.
Most of the company’s employees have been made redundant. Saietta Group employed around 54 people, mainly at its headquarters in Silverstone, Northamptonshire, with a further 33 at the former ZF Automotive plant in Houghton-le-Spring, Sunderland, which it acquired in 2022.
Saietta specialised in axial-flux motors and in the design, development and supply of powertrains for electric vehicles, scooters, buses and marine applications. Last month, the company said it was undertaking a strategic review, including a potential sale process, as cash started to run out. On 4 March, Lucy Winterborne and Daniel Hurd from EY were appointed joint administrators.
Saietta chairman Tony Gott said that while there had been “genuine interest … we do not have a proposal that provides the necessary liquidity in the time we have available, following the company's commercial update of February 13 and the subsequent market reaction. Despite all other aspects of the business remaining in progress, and following major restructuring throughout the business over the last 12 months, we were unable to provide the capital required, on a timely basis, to complete the journey to bring the group to a self-financing position.
“Discussions with interested parties will continue in administration,” he added, “as we believe that the technologies developed by Saietta, as endorsed by our customers may yet find a route to finally achieve our mission, to help clean up the air in the world's major cities.
“On behalf of the board I express to our staff, shareholders and all other affected stakeholders our deepest regret that we are having to take the very difficult decision to appoint administrators.”
A statement from the joint administrators said: “The companies have explored various solutions to safeguard the future of the business, including a further equity raise, debt finance and a solvent take-over of the business. However, with creditor pressure increasing and no immediate solvent solution, the companies have sought the protection of an administration.
The administrators add that they are now exploring options for the sale of the business and assets of the companies, including proprietary electric motor technology and associated plant and equipment.
“Regrettably, the majority of employees have been made redundant with immediate effect. A small number of employees have been retained to assist the administrators.”
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