The Yeovil-based business has announced that 111 staff have lost their jobs.
Supplier of power tools, hand tools and workwear Toolstream has entered administration with 111 redundancies confirmed.
The directors of Toolstream and Group Silverline Limited have appointed Hywel Phillips and Gavin Park of Teneo Financial Advisory as joint administrators.
Yeovil-based Toolstream is a wholly-owned subsidiary of Silverline, which owns the freehold property from which it operates.
According to the notice published on Toolstream’s website, the affairs, business and property of both companies are now under the control of the administrators. It’s understood that employees were called to a meeting late last week and asked to remain at home until further notice.
Administrators said the companies experienced challenging trading conditions in the aftermath of the Covid-19 global supply crisis, resulting in limited stock availability. This had impacted profitability and, despite efforts to work with stakeholders to secure the funding required to continue trading on a solvent basis, this was not possible.
Administrators added that they had taken the decision to pause trading and are inviting interest from any parties who may wish to acquire the assets of the companies, adding that a small number of staff have been retained to assist the administrators with the ongoing operations.
Phillips said: "Our priority is providing support to all those made redundant. We appreciate that this is a very difficult and uncertain time for all involved."
Launched in 2009, Toolstream was recognised as one of Europe’s largest tool distributors and was an exclusive supplier of thousands of market-leading hand tools, power tools and premium workwear to independent and national retailers around the world.
