Phone refurbisher calls up administrators

Chris Pole and Rick Harrison, partners from KPMG’s restructuring practice, have been appointed as joint administrators for Redeem UK Ltd and Redeem Holdings Ltd, two entities of Redeem Group, which have ceased trading with the loss of over 100 jobs

The company refurbishes, processes and resells mobile phones to mobile network operators, as well as directly to consumers through its website Envirofone. The group is headquartered in Macclesfield, with an office in Bathgate, Scotland, and has operations in Dubai, Estonia, Spain and Sweden.

The administrators have not been appointed over the non-UK based entities. The directors, with the administrators’ assistance, are taking steps to wind these businesses down under the relevant jurisdictions, with the exception of Spain, in which the administrators are seeking a purchaser for the business.

Redeem Group employed 130 staff in the UK, the majority of which had been furloughed and 118 were made redundant on appointment. The remaining staff are being retained to assist with the wind down of the business.

Chris Pole, partner and joint administrator, said: ‘Like many businesses, Redeem Group has been severely impacted by Covid-19 and the business has been in hibernation since March.
 
‘The directors had been working with customers and stakeholders to secure new funding into the business to support a reopening, but, unfortunately, this has not been possible and has led the directors to take the difficult decision of placing the company into administration.’

By Pat Sweet

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