A SIGH of relief has been shared across Wellington after discovering a big town employer has been bought out of administration by a familiar face.
News broke in June that Relyon would be going into administration as part of a larger group of businesses.
It was since revealed 82 people have been made redundant – and those people unfortunately will not be getting their jobs back.
On August 3, the long-established bed manufacturer was acquired from the administrators, PwC, by Michco 2001 Ltd, a new company set up by former Relyon Group chief executive, Ian Topping, and other private investors.
Michco 2001 Ltd has also acquired the freehold property in Wellington, Somerset from which Relyon operates as well as the intellectual property associated with the Relyon and Dunlopillo brand names.
The deal saves the jobs of the 280 remaining Relyon employees.
Ian Topping, chairman of the new business, said: “I am delighted to have been able to lead the acquisition of Relyon which is a great UK manufacturer with a 150 year history of making high quality beds in the West Country.
“Having formerly been chief executive of the Relyon Group from 1993-2010, I have real belief in the underlying strengths of Relyon and its people.
“As an independent business, I will be working closely with Alan Chapman, managing director, and his team as we focus on developing our excellent products and close customer relationships to grow the business significantly and with this create new jobs.”
Joint Administrator Yulia Marshall from PwC added: ‘We are very pleased to have secured the sale of Relyon as a going concern, preserving a large number of manufacturing jobs in the region and maximising returns for creditors.
“We wish the buyers well as they seek to re-establish the business as an independent company.”
County Councillor for Wellington and Rockwell Green, Andrew Govier, welcomed the news the company has been purchased by people who really understand it.
He added: “This is fantastic news for the town. I am really pleased that the company has been bought by people who really understand the bed business and the quality of the workforce here in Wellington. I am sure that they will make a real success of this buy-out and that the company has a bright future in the town.
“I was pleased at how the local councils reacted to the proposed buy-out and I have been working with others, behind the scenes, to make this a success. The real hard work has been done by the current management who have done all they can to save the firm and keep jobs in the town. I know that this has been a worrying time for many people in the town and there is still the risk of redundancies elsewhere. However, this is a welcome boost for the local economy and will hopefully be the beginning of a new, bright future for Relyon.”