Bonar Yarns forced into administration
Unsustainable: Bonar Yarns
Bonar Yarns, a Dundee-based manufacturer of specialist polypropelene carpet backing yarns, has gone into administration after experiencing “unsustainable cash flow issues.”
The company was acquired by a management buyout team in 2020 and has a turnover of around £6.5m.
The firm, which was founded over 100 years ago, will continue to trade in the short term as a buyer as sought, with Michelle Elliot and Callum Carmichael, partners with FRP Advisory, having been appointed joint administrators.
Bonar Yarns employs 61 members of staff and there have been no redundancies.
Ms Elliott said: “Bonar Yarns Limited can trace its history back to the foundation in 1903 of the famous Low & Bonar business that specialised in the manufacture of technical textiles.
“Following a management buyout, the business focused on developing and marketing innovative yarns for a variety of different floor covering and artificial sports turf markets.
“We will continue to trade the business in the short term whilst marketing the business and assets for sale with immediate effect and would urge interested parties to contact us as soon as possible.
“Bonar Yarns is highly regarded for its excellence in carpet yarns innovation, so we are hopeful that the business will be of interest to a company already operating in the broad coverings market or an entrepreneur keen to enter the market by acquiring an established brand.”