NEER Metalrax was yesterday saved from the scrapheap as its administrators sold the firm to a group of companies headed by Bowman Birmingham Limited.
Metalrax, which yesterday announced it had hired KPMG as its administrator, will continue to trade as Arc Specialist Engineering and is backed by private investors.
As part of the transaction, Metalrax Housewares has been sold to Cable Capital Partners, while Metalrax Overseas Holdings was sold to Arc Specialist Engineering in solvent share deals.
The deals will save a total of 387 jobs across the business, Metalrax said yesterday.
The junior stock market-listed firm fell into administration due to lower sales volumes in its consumer durables division, which makes bakeware and wine racks.
Will Wright, joint administrator at KPMG, said yesterday that trading in the division had led to a “significant drain” on Metalrax’s financial situation.