28th March 2002 -- Reynard Motorsport has today announced that the company has been placed in receivership with immediate effect. Recent efforts to recapitalise the company did not reach fruition and without further financial investment the company had no alternatives available.
Staff losses will number over 100 people, although the company will continue under the management of receivers for the immediate future. The company has trade creditors of over £3m, in addition to Adrian Reynard, who is substantially the company's single largest creditor.
Adrian Reynard, founder and Chairman, Reynard Motorsport, said of the decision, "It is the worst day of my business life and in the history of the company. Reynard has had so much success over the last three decades and I'm devastated that it has ended this way, but we had no choice."
Reynard adds, "It has been a combination of factors which has led to our situation today. Our aborted float on the US Stock Exchange, which put a strain on our financial resources, and the subsequent changes in the US autoracing market are just some of the influences on the downturn in fortunes of the company. Reynard has suffered from several management changes and strategy shifts over the past three years and it eventually found itself in two of the wrong market places at the wrong time, having invested huge amounts of money in those products. I had hoped that we could retrieve the situation, but sadly we were not able to achieve this."
Reynard Motorsport was founded by Adrian Reynard in 1973 and grew to a multi-million pound company, with outstanding success in International motorsport through the years across many formulae, including F3, F3000, and in particular, in the American CART FedEx Championship Series and the Japanese Nippon Series. In addition, the company has provided consultancy services for many major automotive manufacturers and engineering companies.