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Rescue deal saves jobs at carpets firm

Date Added: 10/04/2013  

Dozens of jobs have been saved after a rescue deal was confirmed for Axminster Carpets, which was close to liquidation earlier in the year.

The firm cut 300 positions in March as a result of its major financial difficulties, but Stephen Boyd, the chairman of Yeovil leather firm Pittards, has stepped in to save the company.

Around 100 positions have been protected following the move, while managing director Josh Dutfield was instrumental in securing a buyer to come in and take over at Axminster. Mr Dutfield is the grandson of the original founder of the famous carpets brand.

London-based financiers Centric Commercial Finance have agreed to provide funding for the rescue, which has fuelled hope some of the 300 staff members who were made redundant earlier in the year may be able to return to their roles.

"I have been determined to do everything possible to secure the continuation of the business for the Axminster community and I feel a sense of pride in securing our future," said Mr Dutfield.

A campaign is now being launched by Mr Dutfield and the new owners of the firm to regenerate the brand and to encourage ongoing support for the future success of the business.

The 100 jobs remaining at the company are protected as a result of the rescue deal and the future of the brand appears to have been secured for the medium term.

Administrators Duff & Phelps confirmed the decision to cut 300 jobs earlier in the year was taken in an attempt to fight off the threat of being forced into liquidation.

A statement issued by Richard Merrin of Spreckley Partners blamed the global financial downturn for the difficulties faced by Axminster Carpets in recent years.

The remaining 100 members of staff had been warned their jobs are under threat as a result of the financial difficulties being experienced by the firm, but their positions are safe for now.

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Posted by Julie Cutts

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