Edinburgh-based BusTech SA, in conjunction with its Queensland counterpart, appointed a caretaker administrator on 12 August.

BusTech SA was a party to an $11.75 million government contract announced in January, under which the company supplied the vehicle bodies and Scania built the chassis.

Transport Minister Tom Koutsantonis said he was concerned about BusTech’s situation.

“I’m very concerned about some of their interstate obligations that they’re going to have to meet,” he told FIVEaa this morning.

Koutsantonis said the government signed a contract with Scania, which then outsourced the work to BusTech when the government requested a local manufacturer.

“BusTech continues to operate under voluntary administration and current production targets remain on track,” he said.

“However, the responsibility for meeting contractual obligations to the State Government ultimately rests with Scania. The State Government has provided BusTech with all possible assistance under existing contractual mechanisms over an extended period of time.”

Koutsantonis said the buses covered by the contract will continue to be delivered.

“As far as the state government money goes, everything is safe, the buses we make are safe, but we really want BusTech to survive because it does an exceptional job,” he said.

“We hope they can get through this. We’re with them, we’ll make sure our contracts stay in place, but ultimately they’ve made some deals in other states where they have some serious liabilities and that could be what pushes them over the edge.”

BusTech employs around 270 people nationwide, with 100 people working at its Adelaide branch.

BusTech Group is 100% owned by Fusion Capital, an Adelaide-based private equity group.

Based in Queensland, South Australia and Tasmania, BusTech said on its website it plans to open new “micro-factories” in New South Wales and Victoria.

Ben Verney of Melbourne-based GreyHouse Partners has been appointed administrator of BusTech SA and QLD. Everyday attempted to contact Verney for comment.