KPMG pair take over at oil and gas equipment firm as 19 jobs go

KPMG’s Blair Nimmo and Geoffrey Jacobs have been appointed joint administrators of Aberdeen-based oil and gas equipment services firm GOT.

The buiness, which was established in 1992 and has a total workforce of 23, ran into cashflow difficulties and took the step late last week.

GOT specialises in the procurement of equipment for the oil and gas sector, including hand tools, consumables, instrumentation, pipe tools and personal protection equipment and comprises the GOT Ltd and GOT Services Ltd trading entities.

“Although there was a significant order book at the time of appointment, the group did not have the stock required to fulfil the orders and most staff had no ongoing work to undertake,” the administrators said.

Four employees have been retained to assist administrators realise the group’s assets.

The administrators said they are currently exploring “whether an early sale of the business, infrastructure, and assets can be secured”.

The GOT group of companies are reported to have “invested significantly in its premises and infrastructure” in 2013/14, though orders had reduced “substantially” as a result of the decline in oil prices.

Blair Nimmo, joint administrator and head of restructuring for KPMG in Scotland, said: “We are seeing the impact of the oil price decline extend down the supply chain and our appointment today is a clear example of the challenges the industry is currently facing.

“The group is well known in the sector and has a considerable order book from its client base which includes some global oil and European companies.

“Unfortunately, due to trading circumstances, we have had no option but to reduce the size of the workforce.

“We will be working with the employees and the relevant government agencies to ensure a full range of support is available to all those affected.

“We are seeking a buyer who can protect the business and maximise recoveries for creditors whilst also helping identify opportunities for the workforce.

“We would encourage any party with an interest in acquiring the Group’s business and assets to contact us as soon as possible.”