Rescue buyer sought for collapsed West Yorkshire mountain bike firm

An established bicycle brand and its metalwork sister company have closed and called in administrators amid financial difficulties.

The running of Halifax’s Orange Mountain Bikes Limited and P. Bairstow Ltd – which between them employ 44 staff – have been taken over by insolvency experts from BDO LLP. There are hopes a rescue deal can be arranged for the two firms which share directors and owners.

P. Bairstow, which operates from premises at Ainleys Industrial Estate in Elland, has traded since the early 1960s including making frames for Orange Mountain Bikes was set up in the late 1980s. The bike brand, which was set up on the cusp of the first wave of mountain bikes and sold online and through retailers, was sold by founders Lester Noble and Steve Wade in 2015.

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The move follows Orange’s announcement that it would not run a 2024 factory team in international mountain bike series such as the Enduro World Cup. Bosses cited uncertainty in the bike industry and the costs associated with running a competitive team. Administrators say Covid supply disruption in 2021 and 2022 and cost inflation impacted cash flow and financial position.

Both businesses are closed as the team from BDO now seek out potential buyers in the hope jobs can be saved. Most recent accounts for both firms show that between them they had liabilities of more than £5m falling within one year.

Mark Thornton, BDO business restructuring partner, said: “Despite the considerable efforts of management and their teams given sector wide challenges, the financial position of the companies means that they have been unable to continue operating. The joint administrators will seek to maximise realisations for creditors in line with their duties and are hopeful that a sale of the business and certain assets will complete shortly, safeguarding as many jobs as possible.”

Original artice – https://business-live.co.uk/all-about/yorkshire-humber

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