Marcos Engineering Appoints Administrator


Sad news from Marcos this morning.

We are aware this is being talked about on some PH forums but we thought it deserved a place on the PistonHeads home page.

Here is the release as we received it. PH sends its thoughts out to all those involved with the company.

October 9th, 2007 - Kenilworth, UK.

Marcos Engineering Limited ("Marcos, the
Company") today announced that it has entered Administration with a view to
completion of existing work in progress. Marcos' plan of dissolution will see the
Company wind up its ongoing business activities, sell its assets and distribute
proceeds and beneficial interests to shareholders and creditors as soon as practicable.

In reaching this decision the Company considered a number of factors including the
Company's current and future strategic and market opportunities and business
prospects, limits on new capital from outside sources, increasing cost of ongoing
capital and prevailing economic conditions.

Marcos was founded in 1959 and went into receivership in 2000. The Company was
restarted in 2002, conducting business as an independent supplier of a new high
performance family of hand built lightweight sports cars that provide a uniquely
exhilarating driving experience. Despite mounting competition from companies with
substantially greater financial, technical, distribution and marketing resources Marcos continued to develop its sports cars that received international acclaim.

As the cost of capital continued to climb and the potential for profit faded, the
Company's Board and management took steps to minimize product and operational
costs while they investigated various strategic opportunities and engaged in
discussions regarding lower cost distribution, alternate manufacturing and external
capital transactions with potential business partners. After reviewing Marcos's
business prospects and potential opportunities, the Company came to the conclusion that Administration of the Company would have the highest probability of returning the greatest value to its shareholders and creditors.

"Regrettably, despite the extraordinary efforts of our employees, suppliers and
dealers, we simply could not attain a profit point, reduce our cost base or raise the
necessary capital to sustain the business", said Tony Stelliga, Managing Director.
"My sincerest gratitude goes out to everyone that worked relentlessly to revive the
Great British Sports Car Company one final time".

Comments (130) Join the discussion on the forum

  • Woody 11 Oct 2007

    Bugger - There goes another one.
    A sad loss to the British Sportscar Industry frown

    Chris

  • beefcake#42 11 Oct 2007

    sad

  • Fetchez la vache 11 Oct 2007

    That is such a shame. I've not been a huge fan of the cars of old, but they were just starting to make fantastic products and looked to have a rosy future - shows what I know!

    Genuinely disapointed

  • Tripps 11 Oct 2007

    Gutting new, my best wishes to Tony, Chiara, Giles and everyone else there cry

    Looks like anyone trying to build something new and exciting now is doomed to failure. Tony had a good business head on him and before the exciting bit of designing and building the cars he focussed on streamlining the business and getting everything right, the product while not perfect was damn good, I drove one over two years back now and was so impressed compared to the Cerbera I had at the time.

    I guess it just needed more people to put their money where their mouth was and buy the cars, but confidence is key I'd imagine.

    A sad day indeed...

  • clonmult 11 Oct 2007

    Me too, hugely disappointed.

    I was a huge fan after an uncle did a full restoration of an old 3 liter Marcos, it had possibly the best paint finish I'd ever seen on a car, the most impeccable interior (he owned a car spares place, had friends who did upholstery, other friends that worked in paint shops). Being taken out in that monster after it had been rebuilt when I was about 12 years old left a lasting impression.

    Beautiful cars, maybe at some point they can be resurrected? can but hope.

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