The Manor Formula 1 operation is set to close after administrators confirmed that efforts to find a buyer for the cash-strapped team had failed.
Manor entered administration at the beginning of January amid ongoing financial struggles, with FRP Advisory being appointed to try and find a new buyer.
Despite talks with a number of interested parties, FRP issued a statement on Friday confirming that Manor would close its doors and its staff would be made redundant after negotiations fell short.
“During recent months, the senior management team have worked tirelessly to bring new investment to the team to secure its long term future, but regrettably were been unable to do so within the time available and were left with no alternative but to place JRSL into administration to protect the best interests of the underlying businesses and in order to continue a search for a buyer,” a statement from FRP reads.
“Since their appointment earlier this month the joint administrators at FRP Advisory have continued to work, with the support of senior management, to try and secure new investment into the business resulting in negotiations with a number of interested parties. During that period funding was secured to ensure payment of all staff salaries until 31 January 2017.
“Regrettably since the appointment of administrators no investment has been secured in the limited time available to continue the Group in its present form.With no sustainable operational or financial structure in place to maintain the Group as a going concern, the joint administrators have now ceased trading JRSL and unfortunately have had to send all staff home from work today Friday 27 January.
“While all 212 staff will be paid on Tuesday 31 January, all but a small handful of staff are expected be made redundant by the end of January. Note that Manor Grand Prix Racing Ltd, the sister company of JRSL, which has the rights for the team’s participation in F1, is not in administration.”
“It is deeply regrettable that the team has had cease trading and close its doors,” FRP’s Geoff Rowley added. “Manor is a great name in British Motorsport and the team has achieved a great deal over the past two years, invigorated under new ownership.
“Operating and running a F1 team to the high standards demanded however requires significant ongoing investment. Just Racing Services Limited was put into administration at the start of January shortly after attempts to sell the business fell through at the last hurdle.
“The administration process provided a moratorium to allow for attempts to secure a long term viable solution for the team within in a very limited time-frame but sadly no solution could be achieved to allow for the business to continue in its current form within what was a very tight time-frame.
“We would like to thank all the staff for their support and professionalism during this difficult process. We shall initiate a formal redundancy process for all staff on Tuesday, once they have been paid for the full month of January.
“As joint administrators our immediate focus will be to assist staff who will have lost their jobs and to provide them with the necessary support to submit timely claims to the Redundancy Payments Service.”
More to follow.
