– It is with great sadness that we now unfortunately have to state that the challenges became too great so that bankruptcy was the only way out, says the board’s chairman Toril Eidesvik in a press release.
Munck Cranes was started in 1924 and has 110 employees. 60 of them work at Kokstad, where large-scale lifting and handling equipment is produced.
To the district court
The board of Munch Cranes AS has submitted a request for tender to the Hordaland district court. The company’s board considers that the financial situation does not provide a basis for further operations.
– For the past year and a half, the company’s administration and board have worked with a focus on reversing a negative development and improving the company’s operations and financial position. As part of this, considerable new equity has been added, explains Eidesvik.
– This is a regrettable situation that affects all interest groups, and not least employees, customers and suppliers, adds the chairman.
The further management of the company will now be taken over by trustee Egil Horstad.
Deal with the electricity price
The high electricity prices hit the crane factory hard last year.
In November 2022, BA wrote about the company’s extensive savings measures, which enabled the mechanical company to cut its electricity bill by 34 percent, compared to the previous year.
Perhaps the most sensational moves were removing electric car chargers and moving the office workers closer together.
20 percent of the faucet manufacturer’s electricity consumption is linked to ventilation and heating in the offices. The other 80 percent is used in production.
Many branch offices
The company is a leading supplier of cranes and lifting equipment in Norway. The business includes production, installation and service based on the company’s head office in Kokstad in Bergen.
The company also has branch offices in Harstad, Kristiansand, Stavanger, Trondheim, Molde and Drammen, as well as subsidiaries in Denmark and Sweden.