ADMINISTRATORS Duff & Phelps say they have been unable to save failing Derry aerospace firm Schivo NI and it will close on Friday with the loss of 40 jobs.
The company manufactures precision components used in both commercial and private aircraft, such as the ongoing Airbus and Boeing programmes.
Previously known as Maydown Precision Engineering (MPE), the firm went into administration 18 months ago and was subsequently bought over by the Waterford-based parent company Schivo.
At the time, MPE managing director Sean Phelan said the deal "secures the future of the company and presents tremendous opportunities for us."
Maydown had a staff of nearly 200 at the time, but this number has gradually dwindled since the takeover.
Efforts to turn the business around came to a head in early January, when Duff & Phelps were called in.
At the time it is understood there were around 80 workers at the facility.
A spokesperson for Duff & Phelps said eight staff members will be retained in order to wind down the operations and 32 will be made redundant as of today.
"Regrettably, despite a thorough marketing process and having secured the support of key customers, the administrators have not received any acceptable offers for the business and assets as a going concern," they said.
"At this difficult time, we will work with all employees who will be affected by redundancy to ensure they receive the information and guidance they need to claim monies owed from the Redundancy Payments Office and to support all employees in seeking new opportunities."
At the Schivo site in Derry, there has been a fairly constant manufacturing presence for the last 50 years.
Tobacconists Molins, who began as a cigar-maker in pre-revolutionary Cuba, first established a premises in the area in the 1960s. Molins closed in 1984, with MPE taking over shortly after.
In the last year, three high-profile businesses in Derry have shut their doors or announced their impending closure.
In September, The Restaurant Group announced it would be closing its Frankie & Benny's location in Derry as part of a wider downsizing scheme which would ultimately see six of its other eateries in the north also go.
Both Ulster Bank and First Trust have also decided to close their premises in Derry in the coming months, again as part of a wider restructuring process.
