Stormont director heads buyout bid
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by Amanda Bradbury • Bill Sangster, a director of insolvent Kent-based Iveco Ford dealer Stormont Engineering, is leading a management bid for the business which went into administrative receivership last week.
Administrative receiver Touche Ross confirmed that it has been sent a buy-out bid from management of the company, which is one of Iveco Ford's largest truck franchisees.
Nem Ford has pledged to continue vehicle and parts deliveries and will honour service arrangements with Stormont customers.
The manufacturer says the Hildenlx)rough, Kent-based dealer's problems are due to external factors. It is "very positive" about Stormont Engineering's future viability. Including its Brighton satellite, Iveco Ford dealer Stormont Trucks, Stormont Engineering's commercial vehicle sales topped C30m last year.
A former Iveco Ford dealer of the year, Stormont has a sales target of 1,300 new commercial vehi
cies this year—Touche Ross declines to confirm whether the business is on course to achieve this target. The company has also sold more than 400 used trucks and vans this year.
Iveco's franchise terms rule that once a dealer has become insolvent, agreement is withdrawn.
In this case Iveco says it is happy to back Touche Ross until the business is sold—but the manufacturer says it will not necessarily award a new franchise agreement to the buyer.
Touche Ross has confirmed that it will continue to offer all its existing services from Hildenborough, including new and used vehicle sales; after-sales servicing; accident repair and wholesale and retail parts sales. I I Another part of the Stormont Group, PCA Automotive of Skipton, Yorks, is also in administrative receivership. The dealer is part of the Stormont Group, some parts of which have also gone into receivership.