Blow for renewables
Argyll wind towers business in administration
CS Wind had been seen as a green prospect
A company which operated the UK’s only factory producing both onshore and offshore wind tower systems has gone into administration 18 months after being mothballed.
CS Wind (UK), which was owned by a South Korean firm, had already laid off its remaining workforce in Machrihanish, Argyllshire following a slump in orders.
Michelle Elliot and Tom MacLennan, partners with FRP Advisory, who have been appointed joint administrators said “market conditions deteriorated resulting in a decline in contracts and revenue”.
The industry warned that cuts in government subsidies to onshore wind farms would have a devastating effect and by October 2019 CS Wind said it would have to axe most of its workforce.
The company, which was regarded as a major player in Scotland’s green revolution, began a managed wind down during 2020 and was effectively mothballed in the Spring of 2020.
The administrators said that with no prospects of any recovery in the market the company’s directors decided to place the business into administration.”
Michelle Elliot and Tom MacLennan of FRP Advisory have been appointed administrators and will now market the assets for sale, including various plant and machinery and a residential property in the heart of Campbeltown that had been used by management for accommodation.
Ms Elliot said: “CS Wind (UK) and its predecessor businesses have a long tradition of designing, manufacturing and supplying high quality wind tower solutions to clients across the UK and Europe.
“The wind tower industry has hence had a significant presence in Argyll for many years, but market conditions have unfortunately resulted in the business being unsustainable and with no immediate prospect of recovery.|”
CS Wind was founded in 2016 following the acquisition of Wind Towers (Scotland) that had owned the factory since 2002 and had been backed by Highlands and Islands Enterprise.
HIE held a 19% stake in the business with Scottish energy firm SSE holding the remainder.