An outdoor furniture manufacturer has announced it will cease operations following several difficult years for the business.
In a statement, the Copenhagen-based company said the decision comes after ongoing challenges in the post-pandemic market and continued cost pressures that have proved too difficult to overcome.
© Kevin George | Dreamstime
The company, Scancom International, added that demand patterns shifted significantly after Covid-19, creating long-term difficulties for the business.
ScanCom has produced and traded outdoor furniture for the B2B sector for more than 30 years. Over the past two years, the company attempted a turnaround strategy amid declining turnover and rising costs.
The company said it will now focus on an orderly wind-down of operations, prioritising the fulfilment of existing customer orders and the gradual closure of remaining functions in Vietnam and other locations.
Chairman Peter Andsager said the company is working with authorities and unions to ensure a responsible transition for employees while honouring commitments to customers and partners.
Founded in 1995 in Korsør, Denmark, ScanCom operates internationally with commercial and production activities in countries including Vietnam, Brazil, Indonesia, Germany, the UK and Spain.
The company has been owned by Lars Larsen Group since 2019.
Source: www.furnituretoday.com
