Centerprise buys out CFL from liquidation
Distributor rescues VAR from liquidation
Centerprise International has continued its channel spending spree, this time bailing out Welsh PC manufacturer, CFL Computer Systems, from liquidation.
Last month, Centerprise bought disaster recovery specialist Adam Continuity for an undisclosed seven-figure sum (CRN, 7 March). It acquired the assets of Cowbridge-based CFL last week, also for an undisclosed figure.
CFL was established in 1989 to supply hardware and services to the public and corporate sectors. At its peak, it had a turnover of £4.25m and employed 27 staff, but falling profit margins saw that number drop to 12 staff over the last two years. The company went into liquidation on 17 March.
Liquidator Anthony Batty revealed that about 100 creditors are owed £300,000 in total. "We are in the process of realising the assets of CFL. Centerprise only bought some of CFL's assets."
Rafi Razzak, managing director of Centerprise, told CRN the firm will honour all customer warranties.
"We are continuing to look for synergy in the rapidly changing market place with a long-term vision that will further establish our position as one of the UK IT industry's most respected companies," he said.
Centerprise has re-employed eight of CFL's 12 staff, including CFL's managing director, who has become general manager of Centerprise's Caerphilly manufacturing facility.
"This acquisition will add to our sales and technical expertise, complementing our existing staff and structures," Razzak said.