AEI Cables out of administration

Birtley-based AEI Cables which manufactures cables used in rail and aerospace transportation and went into administration at the end of February, has been sold to Middle Eastern group Ducab, which operates five cable-manufacturing facilities in the United Arab Emirates.

Deviesh Raikundalia, joint administrator at Springfields Business Recovery & Insolvency, said: “The sale of the AEI business has ensured continuity for the company’s wide customer base and preserved the jobs of the existing workforce. It secures the future of a well-known brand.”

Chris Stott and Andrew Lancaster from KPMG’s Newcastle office advised Ducab on the transaction. Mr Lancaster said: “Protecting over 200 jobs at AEI Cables is great news for the economy of County Durham and is testament to the hard work of the local advisory community to get the deal completed in such a short time-frame. Ducab is a world leader in its field. With its backing, AEI Cables can build on its legacy and look forward to a secure future.”