UK-based DIY supplier Toolstream has entered administration, resulting in the loss of 111 jobs. The announcement came on December 11, with the company attributing its financial difficulties to the lingering effects of the COVID-19 global supply chain crisis.
Toolstream and its parent company, Group Silverline Limited, have appointed Hywel Phillips and Gavin Park from Teneo Financial Advisory as joint administrators. As a wholly-owned subsidiary of Silverline, Toolstream operates out of property owned by the parent company.
Employees were reportedly called to a meeting late last week and told to stay home until further notice. Administrator Hywel Phillips commented, “Our priority is providing support to all those made redundant. We appreciate that this is a very difficult and uncertain time for all involved.”
READ MORE: Major UK Bar Chain Begins Closing Sites This Saturday, Putting Over 1,000 Venues at Risk
READ MORE: Amazon’s £20 Guinness Gadget is a Hit with Dads and Arrives Before Christmas
The administration follows persistent trading challenges and limited stock availability caused by supply chain disruptions post-pandemic, which severely affected profitability. Despite efforts to secure funding and maintain solvency, these attempts were unsuccessful.
Toolstream is a key distributor for over 6,000 branded hand tools, power tools, fixings, and workwear across the UK and Europe. Its product portfolio includes well-known brands such as Silverline, Triton, and Scruffs. The company reported revenues of £57.7 million in its latest accounts for the year ending July 31, 2023.
The appointed administrators have paused trading operations and invited potential buyers to express interest in acquiring company assets. A small number of staff remain employed to assist with the administration process.
Toolstream’s financial accounts due by July 31, 2024, have not yet been filed, with a deadline extending to July 31, 2025.