MORE than 170 jobs have been lost after a Scottish cybersecurity firm went into administration.
Adarma, which was based out of Edinburgh’s Fountainbridge area, was one of the largest independent cybersecurity services companies in the UK.
Set up in 2009, it provided high-end security to banks and other large firms and employed 176 people across its Edinburgh and London offices.
On Tuesday, it was confirmed that 173 Adarma employees had been made redundant.
Last week, reports had said the firm had entered a Notice of Intent to appoint an administrator.
Adarma’s client director, Ross Lockerbie-Tyrrell, had posted on LinkedIn: “The business I’ve poured my heart into for the past two years has entered into a Notice of Intent to appoint an administrator – meaning there is still hope that a buyer can be found.
“But the uncertainty is incredibly difficult, and like many of my colleagues, I’m preparing for what might come next.”
The loss of a major customer had reportedly put Adarma under severe financial pressure.
Joint administrators Will Wright and Alistair McAlinden from Interpath have now been appointed.
Wright, the UK chief executive at Interpath, said: “Adarma had built a strong reputation in the cyber security sector, but sustained margin and cashflow pressures ultimately proved insurmountable.
“Like many in the industry, the business faced intense competition, rising operational costs, and a continual need for investment.
“Given Adarma’s financial position, we’ve made the difficult decision to cease trading.
“Our team is working closely with affected employees to support them through the redundancy process, including assistance with applications to the Redundancy Payments Office.”
In 2022, Adarma won a £2 million grant from Scottish Enterprise with the aim of creating 50 more jobs. At the time, it reportedly had more than 330 employees.
