Tue, 09 Dec 2014 | BUSINESS SALE
Lincolnshire-based recycling firm Eco Plastics is looking for a new owner to ensure its future as it struggles to keep its head above water.
Its investor Ludgate Environmental Fund said it would write off the carrying value of the company recently, which is £2 million at present, after finding a solution with creditors problematic.
Eco Plastic’s founder and deputy chairman Jonathan Short said in a statement that a new owner is now being sought in order to gain a “long-term platform for future strategic development”.
Financial issues arose after the business opened a new £15 million facility in May 2012 as part of its relationship with Coca-Cola, which was set to increase capacity for Eco Plastics from 100,000 tonnes to 140,000 a year. The initiative called Continuum was to recycle Coca-Cola's bottles and reached half a million bottles in the first year.
Later that year, in December, it also won new funding to the tune of £6 million to support its growth.
Previous investor Jeremy Middleton, of Middleton Enterprises, was positive about the business’ future prospects, and told Insider Media: "Options are being looked at to secure the future of the business. There's been no formal appointment of an administrator. I think with the right level of shareholders and the right backing it might have a good future."
While it has had some “good times” and had entered a working relationship with Coca-Cola, Eco Plastics had proved to be a “disappointment” and hadn’t harnessed its opportunities as well as it might, Middleton added.
_____________________________________________________________
Related information:
Acquisition finance
Seeking an acquirer / strategic partner for this long-established national engineering contractor providing an extensive range of solutions, including specialised fabrication, pipework installation, steelwork and mechanical equipment.
Our client, with a legacy spanning over 35 years, has crafted an exceptional brand and market-leading business in the world of organic wines. Now, due to retirement plans, they are seeking the perfect successor to carry forward their legacy.
Over the past 15+ years, our client has built a successful business providing a range of commercial cleaning and soft services to its contracted and growing client base. Working predominantly within the commercial and industrial sector, our client ma...
02
|
Apr
|
NVM exits travel tech firm Intuitive with Banyan Software deal | BUSINESS SALE
Banyan Software has bought a technology provider of end-to-e...
02
|
Apr
|
CheckFire Group buys long-standing partner PJ Fire | BUSINESS SALE
CheckFire Group, the South Wales-based fire safety equipment...
02
|
Apr
|
Listed group Spire Healthcare buys occupational health peer Acorn | BUSINESS SALE
Listed group Spire Healthcare has bought peer Acorn Occupati...
23
|
Feb
|
Shortfall incurred after Eco Plastics administration | ADMINISTRATION
It is believed that an unsecured shortfall of £14 mill...
Business Sale Report is the complete resource for finding genuine acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
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.