AMD takes an indirect route to Evesham
AMD has added to mounting creditor pressure on Evesham by severing direct ties with the system builder, which was recently salvaged in a pre-pack administration deal by Time/Tiny owner Tahir Moshan
We would like to be advised formally on the ownership of the company
The chip giant has frozen direct support for long-standing partner, Evesham, until information is forthcoming from its administrators on the structure of the new firm and whether its outstanding debts will be repaid.
This leaves AMD with just one direct system builder partner in the UK Mesh Computers.
Andrew Buxton, European director distribution channel at AMD, said: “This is a pure business decision and is not down to personalities. We need to be advised formally on the ownership of the firm and clearly we would expect to be paid for the goods we’ve shipped.
“We have made no hard and fast decision. We would like to be paid and will act accordingly.”
AMD’s bombshell comes amid growing calls for an independent enquiry into whether Evesham’s directors acted in the interest of its creditors which were reputedly saddled with debts of £5m to £7m in the run-up to its demise.
Nitin Joshi, founder of advisory firm ChannelMoney, which is representing some of Evesham’s creditors, said: “My clients are up in arms and want a lot of questions answered.
“They want to know about the movement of stock prior to the company going into administration and the discussions with other companies and why nothing happened.”
Eddie Pacey, director of credit at distributor and Evesham creditor Bell Micro, said there were “growing calls” for an independent enquiry.
Meanwhile, further evidence that Evesham will turn its back on high-volume PCs emerged last week as the firm launched its first product since it went into administration a digital TV recorder.
Richard Austin, former Evesham chairman and managing director of GeeMore Technology, which owns the Evesham name, said the firm would sell the product on its web site and through select retailers.
“We’re still doing PCs, but will concentrate on high-end PCs where competition from multinationals is less fierce,” he added. Austin refused to comment on AMD or creditor issues.