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Opus saves Logan Bruce
Business advisory firm Opus Advisory Group successfully secures creditor approval for a four-year recovery plan for Fife-based civil engineering firm Logan Bruce Limited, safeguarding 21 jobs and keeping the family-owned business trading.
The Company Voluntary Arrangement (CVA), approved on 1 September, follows several months of advisory work by the Opus team after the business faced significant cash flow pressures following the unexpected closure of a site where it had secured a major contract.
Logan Bruce had invested in equipment and resources to deliver the contract, leaving a significant financial shortfall when the site closed. An initial attempt to sell the business failed to attract a viable offer, prompting Opus to work with management and the company’s accountants to find an alternative way forward.
As new contracts strengthened the company’s prospects, detailed financial forecasts demonstrated that the business could generate sufficient cash to support a four-year recovery plan. Under the agreement, compromised creditors are expected to receive around 32p in the pound, while HMRC and trade creditors will be paid in full.
“This is a really positive outcome for a business which, when we first became involved, was facing significant financial pressure,” says Paul Dounis, Opus Advisory Group partner and joint supervisor of the CVA alongside Mark Harper.
“By working with creditors openly and demonstrating that the proposed CVA offered a better outcome than the alternatives, we were able to secure support for a sustainable four-year plan.”
Dounis said the agreement gives Logan Bruce the breathing space to deliver its growing pipeline of work and build for the future.
Dounis and Harper will monitor the company’s performance and compliance with the arrangement over the next four years. The deal also strengthens Opus Advisory Group’s presence in Scotland, helping businesses explore turnaround options before formal insolvency becomes inevitable.