Scarborough steelworks company Alliance Structures collapses: equipment and machinery to be auctioned

An auction of machinery and equipment from Alliance Structures takes place next week.

The company, which had offered a design-to-build steel construction service that was used by schools, universities and the hotel industry, closed the gates at its Hopper Hill Road factory at Eastfield three weeks ago.

It was first registered as a private company in March 2015.

The insolvency specialists handling the winding up of the business, Kingsbridge Corporate Solutions of Hull, has now instructed auctioneers Eddisons CJM to sell off the assets of the company in an online auction that is scheduled to end at 1pm on Wednesday March 23.

Alliance Structures closed its gates three weeks ago and is in administration.

Eddisons CJM director, Paul Cooper, said: “The company apparently got hit by a triple whammy that started when the outbreak of the Covid pandemic caused delays in the delivery of their steel supplies, which hit their project completion deadlines, and then on top of everything else supplies started doubling and trebling in price.

“We’re seeing a lot of challenging issues for companies involved in or dependent on energy-intensive industries such as steel and plastics, as well as food processing.

"The auction extends to 125 lots and includes some good quality machinery, tools and equipment, much of it general purpose. We’re not only getting interest from buyers in this country but also from the continent.”

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The star of the show is expected to be a Kaltenbach steel processing line that even in used condition can sell for in excess of £100,000.

“Other high value lots include a Valmar Jumbo side loader, the type that’s extensively used in steel and timber yards, expected to make £8,000-£10,000," said Mr Cooper.

"The other vehicles we’ll be putting under the hammer also include a gas-powered Nissan forklift truck that has a pre-sale estimate of £3,000-£4,000.”

In addition to the factory machinery and equipment, the auction will include a number of lots of furniture and equipment from the company’s offices.

The auction viewing session is on Tuesday March 22 at the Alliance Structures site at Chatsworth Court, Hopper Hill Road, Scarborough (9.30am-3.30pm).

The full auction catalogue is available at www.eddisonscjm.com.