Amsterdam-quoted computer distribution group HCS Technology NV’s hopes of finding a buyer for its loss-making Canadian subsidiary Savin Corp fell considerably with Savin reporting 1991 net losses of $97.4m. Peripherals distributor Savin – once big in copiers – was bought some years back by HCS as part of a radical growth-by-acquisition policy that culminated in near bankruptcy for the group late last year (CI No 1,860). A large part of the restructuring plan proposed to HCS by the ABN Amro led consortium of banks that now control the healthier aspects of the group was that Savin, whose losses by themselves were largely responsible for HCS’ balance sheet crisis, be sold off. With Savin’s heavy losses and 1991 turnover that slumped to $312m from $377m the year before, getting a reasonable price for Savin looks increasingly difficult.
