SAIC-Velcorex Concord, formerly DMC Tissus, the fabrics division of Dollfus Mieg et Cie (DMC), has been placed under judicial administration until 31 March 2010, following a court hearing in Mulhouse.

A joint-venture led by business rescue specialists Bernard Krief Consulting acquired DMC Tissus in August 2008, the company having been in administration since May of that year.

The court was alerted by auditor commissioners who considered that the company was bordering on insolvency.

It heard that SAIC-Velcorex Concord requires an injection of working capital of EUR7m (US$9.7m) in 2010.

Specialising in sportswear fabrics and velvet, the company employs 135 staff, based in Saint-Amarin, in eastern France.