Nearly 100 jobs have been lost after an IT firm collapsed into administration in Midlothian.
Hutchinson Networks, which was previously hailed as “a rising star in global IT network deployment”, appointed KPMG as administrators on Tuesday.
The Dalkeith-based firm was established in 2011 and saw rapid growth in the past two years, Insider reports.
This growth was forecast to continue, but the administrators said the firm had been hit by contract delays last year leading to substantial losses.
Attempts to find further investment for the company failed.
The joint administrators decided to make 94 of the company's 109 employees redundant with immediate effect.
The 15 remaining employees have been retained to help the administrators to continue trade the network operation centre.
Blair Nimmo, joint administrator and UK head of restructuring at KPMG, said: “Hutchinson Networks was a rising star in global IT network deployment.
"It had invested heavily for future growth and secured attractive contracts for the second half of 2019.
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"Despite the exhaustive actions of the directors to increase sales, reduce costs and attract new investment, the business was unable to continue trading.
"We are exploring a sale of the business and assets and would encourage any interested parties to contact us as soon as possible.
"Additionally, we are working with Scottish Enterprise and Skills Development Scotland to provide a full range of support to the company’s employees throughout this process."
'Very sad news'
Midlothian MP Danielle Rowley responded saying: "Very sad news that 94 people have been made redundant with immediate effect following Midlothian IT company Hutchinson Networks going into administration.
"I have been assured that the Partnership Action for Continuing Employment (PACE) response, which ensures that local public sector agencies respond to redundancies as quickly and effectively as possible, has been enacted."
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