Fri, 28 Jun 2013 | ADMINISTRATION
Book manufacturer MPG Printgroup has been placed in the hands of joint administrators at BDO after a cashflow crisis.
MPG was the largest independent book and journal manufacturer in Britain, operating from sites in King’s Lynn, Bodmin and Bar Hill. It ceased to trade at the end of May, with a total of 267 staff made redundant.
Simon Girling, BDO business restructuring partner, commented on the proceedings to The Bookseller, “Regrettably it has not been possible for MPG Printgroup to avoid administration, nor to preserve the business as a going concern.
“Our objective as administrators will be to secure sales of its state of the art printing equipment, ideally in-situ, and to maximise recoveries for the company’s creditors.”
MPG had recently been subject to £4 million of investment to bring in new equipment for the business, including digital presses.
The failure is attributed to its rapid growth, an over-ambitious attempt to expand, and in so doing losing control of its cashflow. In particular, a major cost over-run at its new printing set up at the Cambridge site has been blamed for the calamity. Pressures included issues with the floor and equipment set up taking longer than anticipated.
Meanwhile customers have been searching for another printer to use. An unnamed print manager told Print Week, “There’s £24 million of work there. Who wants to pick it up? It may be better if the work goes around the industry at fair prices.”
Contact the administrators here
___________________________________________________________________________
Related articles:
Synergie Group enters administration
East London printing firm in administration
Montgomery Litho (Glasgow) rescued in MBO
Established name within the Kitchen & Bathroom design and Installation sector. Offering wide and varied customer base with healthy order book.
Leading domiciliary assisted living facility boasting an enviable reputation for providing high-quality care at home with a highly experience team of around 80 staff members.
LEASEHOLD
Outstanding independent plumbing, heating & gas installation company located in central Scotland. Boasting a prime trading location, and tremendous room for further growth.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.