Thu, 06 Oct 2022 | ADMINISTRATION
Administrators are continuing to explore a sale of the business and assets of the subsidiaries of paper group Arjowiggins Group UK. Ten of the group’s subsidiaries fell into administration last month, with Blair Nimmo and Alistair McAlinden of Interpath Advisory appointed to oversee the process.
The group, which can trace its history back to 1738, produces fine and custom papers for a range of uses, including graphic design, security printing, packaging and labelling. The UK business was established via a 2019 management buyout after French parent companies Arjowiggins and Sequana fell into insolvency.
However, the business has since faced a “difficult trading environment”, becoming lossmaking after the COVID-19 pandemic hit trading and cashflow. This situation has been exacerbated over recent months by significant increases in the costs of energy and raw materials, such as pulp.
Interpath Advisory were subsequently appointed as administrators to the group’s subsidiaries on September 22. The subsidiaries affected are: AW Creative Papers Group Ltd; Arjowiggins Group Ltd; AW Branding Ltd; AW Estates Holdings Ltd; AW Estates Scotland Ltd; AW Estates England Ltd; Arjowiggins Papers Ltd; Arjowiggins Translucent Papers Ltd; Arjowiggins Chartham Mill Ltd and Arjowiggins Scotland Ltd.
Joint administrator Blair Nimmo said: "We continue to explore potential interest from both trade and financial investors in the AW Group's business and assets. Both the Stoneywood Mill [Aberdeen] and Chartham Mill [Kent] sites are being given maximum exposure to identify if any party will step forward to purchase these as paper making facilities.”
"However, in the absence of any credible interest in the acquisition of either site as a manufacturing facility, the joint administrators will continue to wind down operations at each mill. We'd therefore urge any interested parties to contact the joint administrators as a matter of urgency, regardless of their interest being in the business (or part thereof) and/or specific assets."
Joint administrator Alistair McAlinden added: "While we explore potential interest in the group's business and assets, we are also liaising with key customers to establish if existing orders can be fulfilled from the group's paper stocks.”
Click here to view the UK's latest distressed businesses.
View recent UK administrations.
This bespoke signage company has a national client base ranging from high-street retailers to blue-chip financial institutions, supported by long-standing relationships and reliable repeat revenue streams. The business operates from large, well-equip...
The company is a long-established signage design and manufacturing business offering a comprehensive services throughout St. Albans.
An opportunity exists to acquire a well-established UK based manufacturer of sterile barrier papers used for the packaging of both reuseable and single use medical devices. The company holds the leading market position in coating base papers and is i...
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.