Sirius Corporation cuts half of its staff after collapse
- 13 September, 2013 17:51
ASX-listed IT services firm Sirius Corporation has sacked half of its staff following its collapse due to a lack of funds, administrators say.
The Melbourne-based company fell into the hands of administrators, FTI Consulting, on August 30 who have since let go of “about 50 per cent” of the 35 staff in a company restructure before it is sold either in parts or as a whole.
FTI senior managing director Quentin Olde said the business failed due to a lack of funds required to take the business forward.
“The business is continuing to trade and we are exploring options to sell the business as a going concern, but the business didn’t have sufficient funds to allow it to operate in the structure it was in,” he said.
He said some staff had been let go and some had been made redundant under the restructure.
“There’s obviously been some rationalisation of the operations,” he said. “The business had in total about 35 staff and about 50 per cent have been let go.
Olde indicated that the three main components of the business: IFMA, Pinnacle and Sirius Managed services were likely to be sold in the near future.
“We have interested parties looking at all three components of the business, both separately and together,” he said. “At this stage we expect the businesses to continue as going concerns and be sold.”
The business, which specialises in asset management software, had struggled for a number of years and posted a $2.2 million loss in the 2011/12 financial year.
It looked to be on the mend earlier this year with revenue of $6 million in FY 2012 – up 60.6 per cent to the previous year - the signing a resale agreement in Canada and the renewal of its managed services contract with Qantas.
- View from the Cloud: An outlook on Australian businesses in 2013
- Provide clients with more powerful, cost-effective cloud hosted services
- Vintek partners with IBM to reduce costs and improve system reliability
- How do you measure up against top IT service provider benchmarks?
- Rebranded Quadmark revamps its IT solutions with Google Apps
Gold Coast-based Icon expands into US
Optus hits 2.3Gbps throughput in real-world test
Australia lags in e-signature adoption: Adobe
Users refuse to chuck XP as Windows 8 uptake flattens
Android takes 62 per cent share of tablet market in 2013