CF Booth facility idled in UK

London-based Interpath Ltd. says two of its staff members have been appointed joint administrators to CF Booth Ltd., a decades-old metals recycling company located in Rotherham, United Kingdom.

Interpath, which describes itself as a financial advisory firm regulated by the U.K.’s Financial Conduct Authority (FCA), says its staff members James Lumb and Howard Smith are acting as joint administrators to CF Booth, in a nation where the “administration” process equates to the bankruptcy process in the United States.

The advisory firm describes CL Booth as a family-owned business that was founded in the 1920s that currently employs 168 people and is engaged in both ferrous and nonferrous metal recycling.

“The company had experienced significant trading difficulties over recent months, exacerbated by rising energy and copper prices, as well as increases to the National Living Wage and the impact of environmental legislation, value-added tax (VAT) and Health and Safety Executive (HSE) penalties and other regulatory pressures, all of which impacted cash flow,” states Interpath.

A late January news story on the BBC website says a 2020 accident at the CL Booth facility resulted four years later in a $1.6 million fine and a courtroom guilty plea from the company.

Interpath says CL Booth executives “took steps to explore the options available, including options for sale and reinvestment; however, with no solvent outcomes available, they took the difficult decision for file a Notice of Intention to Appoint Administrators.”

The advisory firm says operations at the company’s facility at Rotherham currently are idled while the two administrators explore options for a possible sale of the business. However, more than 50 employees have been retained to assist the administrators while they undertake their assessment process.

“CF Booth has a long and storied heritage in South Yorkshire, not least for its role as one the largest rolling stock [locomotive and railcar] recyclers in the country, working with several of the main rail operating companies,” says Lumb.

“However, as one of the largest manufacturers of copper-based products in the U.K., the company has also been hit hard by the tremendous surge in copper prices seen over recent months. This, coupled with broader economic headwinds, placed unsustainable pressure on cash flow,” continues Lumb.

“While we assess the options available to us, we would ask any parties who may be interested in buying the company and its assets to make contact with us as soon as possible,” adds Lumb.