Financial woes force EFG Scandinavia to close shop
Having provided services to the renewable wind sector, that found itself under immense financial pressure, EFG Scandinavia, part of EMS-Fehn-Group, has been unable to continue operating at profitable margins. The company has therefore filed for insolvency at the Hordaland District Court, Bergen.
Established in 2017, the company has been providing tailored heavy lift solutions mainly in the Nordic countries. The company said that the board’s decision to initiate insolvency proceedings was not made lightly at all and is based on the responsibility for its employees, customers and business partners. Considering the company’s financial challenges in an increasingly demanding market environment, the preeminent aim is to curtail any potential negative effects on everyone involved.
„We deeply regret having to discontinue EFG Scandinavia’s activities,“ the company declares. „Of course, we will now closely collaborate with all relevant parties and do our utmost to minimize the impact on our business partners and employees.“
EFG Scandinavia has been supplying customized heavy lift solutions to various industries – with a strong focus on the renewable energy sector. In recent years, the company contributed to a number of major wind energy projects in the north of Europe, deploying high-performance cranes to assist in the installation of hundreds of wind turbines. However, with the entire wind industry finding itself under significant financial pressure, EFG Scandinavia has not been able to perform at profitable margins.
Bjørn Åge Hamre of Simonsen Vogt Wiig AS has been appointed as insolvency administrator and will guide EFG Scandinavia AS through the insolvency process. Currently, the company has 14 employees. Wages for September have been paid in full.
The decision to file for insolvency follows a record-setting 2022 when the company installed a total of 170 wind turbines in Sweden, Finland and Lithuania.
Responding to a steady increase in demand for logistics services in Scandinavia, German EMS-Fehn-Group founded the new company EFG Finland, in February this year.