Highway fails to save technology company, as future remains undecided
New Millennium Technologies (NMT) is in administration after its main investor pulled funding.
Insurance Times reported last week that Highway Insurance Holdings would honour its contract with NMT until the end of the year and then cease investment.
Now Deloitte and Touche has been appointed administrator.
Highway put £2m into the technology company this year.
Highway managing director Andrew Gibson said it would continue to have an 18% share of the company.
NMT Premier Plus managing director Barry Singh said the company's fate would be decided "by the end of the year".
He confirmed that NMT was put into administration last week.
Market sources suggested that HSBC was interested in buying NMT, but Singh nor the bank would not comment on the rumour.
NMT owns broker software system Premier Plus.
In its annual returns for the year ended 31 December 2001, NMT recorded a loss of £2.11m against a turnover of £1.59m. Staff costs were £1.56m.
Market analysts predicted NMT would make a similar loss this year and revenues from its Highway business and broking work would just hit the £1m mark.
Singh would not comment on the figures.
He said last week that the company was in "advanced talks" with potential investors and "a number of people are talking about a sole investment or a consortium".
He said there were no planned job cuts and all staff would be paid.
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