Team Rock Ltd, the parent company of popular heavy metal magazine ‘Metal Hammer’ is reportedly going into administration — meaning they will be taken under the management of a court appointed administrator. Daily Record reports that Team Rock laid off 73 employees and had an approximate net debt of £11.7 million.
The popular music news organization will continue operations for the time being with an extremely thin staff of just seven people.
There is really bad news for the company, who had implemented cost cutting measures recently and attempted to sell the company. They were unable to complete a deal with any potential buyers — meaning for now the future is quite dim. Team Rock’s assets could be sold to an interested company looking to acquire their wide ranging web presence, but so far they have been unable to strike a deal.
Tom MacLennan of FRP Advisory said: “The company explored every option to secure the long-term future of the business, however the constraints on the cash position of the business were such that administration was the only viable option.”
“Seven staff will be retained in the short term, three in London and four in High Blantyre, to assist the administrators with magazine publishing, website maintenance and other matters.”
Metal Hammer has been in business since 1986. For now, the company will continue publishing with an extremely limited capacity but it is unknown how long that will last.
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