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Quickstep Holdings has informed the ASX that the company has not received any offers on the proposed sale of Quickstep Aerospace Services.
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The company previously announced the proposed sale of Quickstep Aerospace Services (QAS) and its maintenance, repair and overhaul operation based in Tullamarine, Victoria, according to a company announcement published on 23 October.
The original sale process was announced on 20 August and reportedly received some interest and concluded on 21 October following a period of engagement and due diligence.
“Since the beginning of FY25, customer orders have declined, accelerating the losses at the Tullamarine facility,” the company said.
“Given this, Quickstep has therefore made the decision to proceed with the closure and asset disposal of QAS.
“This decision has not been taken lightly given the loss of a unique Australian capability, however, the mitigation of the losses associated with this MRO business supports the sharpening of our strategy and our focus on the long-term sustainable and profitable performance of the core Quickstep business.
“In terms of this focus, we are pleased to advise that following the restructure of our Bankstown Structures business earlier this year, its performance continues to exceed last year’s results in line with the company’s revised strategy.
“The company is working closely with all impacted employees, customers and partners to ensure a smooth transition during this period of change.
“Subject to any further discussions the company may have, operations at Tullamarine are expected to progressively reduce in the lead-up to 31 October 2024, with final closure shortly afterwards.”
Earlier this year, Quickstep Holdings also informed the ASX that it intended to reduce its local workforce by 20 per cent as demand for F-35 components slows.
In addition, the aerospace composite business was also expected to reduce staff within its corporate support teams by 35 per cent.
