HLD Group acquisition leads to major layoffs at C Brown
The new owner of UK decoiler C Brown and Sons, HLD Group, laid off 95% of the company’s workforce on August 15. Located in the West Midlands, C Brown operates three decoiling lines capable of processing coil up to 2 meters wide. The company has faced fierce competition, resulting in a sharp sales drop and a £1.42 million pre-tax loss for the year ending May 2024.
The decline in turnover—from £57.3 million to £42.6 million—triggered operational restructuring. Following HLD Group’s April acquisition, supplier confidence waned, with many losing or facing reduced credit insurance. Market rumors suggested HLD might pursue pre-pack administration and repurchase strategies, including retaining company land assets.
Background and industry context on C Brown and HLD Group
HLD Group’s director Lindsay Khan has a history tied to steel supplier Benbow Steels, which entered administration in February. The auditor engaged for Benbow Steels was also hired 39 times since 2012 under Khan’s direction. The current restructuring at C Brown signals broader challenges for UK steel processing firms facing market pressure.
Meanwhile, the sharp reduction in staff reflects HLD’s aggressive cost-cutting approach to stabilize operations. Industry insiders watch closely as C Brown’s fate could signal trends for other metal processing businesses struggling amid competitive pressures and financial setbacks.
SuperMetalPrice Commentary:
C Brown’s massive staff reduction illustrates the pressures facing legacy steel processing firms in a competitive global market. HLD Group’s acquisition and restructuring could be a strategic reset, but the withdrawal of supplier credit and operational downsizing risk undermining short-term recovery. Monitoring HLD’s next moves and potential new buyers will prove critical for stakeholders tracking UK metals industry stability.
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