Mandelson-backed KeTech faces CVA
Nottingham-based engineer KeTech Group, the company which supplies communication, information and detection technologies, is about to enter into a company voluntary arrangement (CVA), it has been reported this morning.
KeTech rose to prominence in August last year when it received £2.75m from Lord Mandelson’s £75m Capital for Enterprise Fund (CfE). Now, around a fifth of KeTech’s 80 employees are at risk as the company seeks protection from its creditors. However, Octopus Capital, one of the backers of the CfE fund has said the company may receive a further cash injection of £500,000 to help it continue trading.
A spokesperson for Octopus said: “"We will definitely back them but the absolute amount has not been signed off. We believe there's a management team there that can turn this company around. It still has every hope of being a business that makes money."
