The final progress report from the administrator, Interpath Advisory, was made public on Companies House last week (4 October).
This confirmed that the company had insufficient funds to pay creditors and that the administration process has now ended, with the company being formally dissolved within three months of 4 October.
The notice read: “There were insufficient funds available to enable a distribution to both ordinary preferential and secondary preferential creditors [and unsecured creditors].
“We have filed a copy of this final progress report with the Registrar of Companies together with the requisite notice. The administration will cease to have an effect when the Registrar of Companies registers these documents. The company will be dissolved three months after that date [4 October].”
Sale
While the dissolution of the company will come as no surprise as it has been expected since the company entered administration in September 2022, it will still be a kick in the teeth to some of those owed money.
Noticeable names owed money include Wiltshire council, owed £935,000, and HMRC, owed £875,000.
The administrators confirmed in May that a buyer has been found for the company’s assets, valued at £30,000. However, this plus the cash at the bank Recycling Technologies had, was not even enough to 1cover all legal fees and administration costs.
However, a relaunch of the company might be on the card after the takeover, according to the Recycling Technologies website, where a statement says: “Deeptech Recycling Technologies Limited (DRT) acquired the majority of the assets of Recycling Technologies from administration. The DRT team has been consolidating the assets and evaluating the options, prior to relaunching the business.”
Machine
The £310,000 offer was largely made up of £298,995 for the ‘RT7000’ machine which Recycling Technologies said can turn plastics into oil. Recycling Technologies had initially valued this at more than £6 million.
The report says: “It was ultimately concluded the transaction with the purchaser was a significant improvement on the only other likely outcome which was a piecemeal disposal strategy”.
Plastics to oil
Recycling Technologies was founded by its director Adrian Griffiths in 2011.
The company said that the machine it created, the RT70000, could transform plastic waste into a chemical feedstock called Plaxx, “which can be used in the manufacture of new, virgin quality plastic.”
Recycling Technologies was funded through a number of different sources, including government grants such as £2 million from Zero Waste Scotland, equity investment and convertible loan notes. It also ‘crowdfunded’ more than £2 million.
Mr Griffiths previously claimed the Recycling Technologies process could turn the “most challenging of plastics wastes into valuable oils” via the RT7000 machine.
Mr Griffiths explained: “Our RT7000 machine will help feedstock recycling take off around the world. This will allow crisp packets, sachets, films etc to become widely recycled back into virgin quality plastics.”
Recycling Technologies was also due to install its machine in Scotland as part of an ‘advanced plastics reprocessing facility’ on the Binn Group’s site in Perthshire.
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