Dagenham recycling firm enters administration

Mon, 16 May 2016 | ADMINISTRATION

A plastic milk bottle recycling firm based in Dagenham has been placed in administration less than a year after being acquired by an investment company in Dubai.

Euro Closed Loop Recycling was created less than 12 months ago following the acquisition of Closed Loop in a pre-pack administration agreement by Euro-Capital, a Dubai-based investment company. The Dagenham plant, which operates under Euro Closed Loop Recycling, was formed in 2008 and recycled an average of 35,000 tonnes of plastic milk bottles per year.

Once acquired in 2015, Euro-Capital scaled back operations at Euro Closed Loop Recycling because the plant was losing an estimated £300,000 per month, according to the new owners. The investment firm also said that they could not compete with the cheaper-to-produce virgin plastics.

Jason Elliott and Craig Johns of Manchester-based insolvency firm Cowgill Holloway Business Recovery LLP have since been appointed as joint administrators. They have been tasked with finding a buyer for the optical sorting, granulation and washing machinery used in the plant, collectively said to be worth millions of pounds.

Selling off the assets of the distressed business represents a huge blow for the UK recycling industry. Furthermore, significant investments had already been made in the recycling firm, with £4.7 million coming from Sevenoaks investment company Foresight Group and grants from the Waste & Resources Action Programme (WRAP) charity and London Development Agency (LDA).

Contact the administrators
See the full list of the latest businesses in administration.


Share this article



Latest Businesses for Sale

Two Cafes & Food Kiosk
Cornwall, UK Wide

2 x Lucrative Cafes & Food Kiosk Recently Departed from a Franchise in Cornwall. Well-Established and Longstanding. Ideal Coastal Location. Recently Renovated. Fantastic Reputation. Excellent Trade Throughout the Year. Offers invited.

Asking Price: £299,950
Turnover: £500,000

LEASEHOLD


Flooring Specialists
Hertfordshire, UK Wide

Flooring Specialists: Domestic, Contract, Rentals, HMO, Housing Associations, Ecclesiastic, Schools and New Build. Well-Established. Highly reputable with multiple years of repeat business. Over 25 years of experience in the field. Domestic and Comme...

Asking Price: £400,000
Turnover: £850,000

LEASEHOLD


Movable Art Display Walls Design & Manufacture
Wiltshire, UK Wide

Blue Chip Client Base. Full Range of Display Systems. Limited Industry Competitors. Solid Platform for Growth. Offers invited.

Asking Price: Offers Invited
Turnover: £403,159

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
13
 
Sep
 

AFH Financial Group acquires two firms for £7.2 million | BUSINESS SALE

AFH Financial Group, a listed wealth management firm headqua...

 
12
 
Sep
 

Lucid Group completes acquisition of North West-based healthcare consultancy | BUSINESS SALE

Healthcare communication specialists, Lucid Group, has succe...

 
11
 
Sep
 

Controversial green energy firm goes bust and forced to appoint administrators | ADMINISTRATION

A small energy supplier providing green energy to 29,000 hou...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
07
 
May
 

Data hosting firm Alphadex bought out of administration | BUSINESS SALE

iRack Limited has bought data hosting and processing company...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources