Thu, 14 Dec 2023 | BUSINESS SALE
A manufacturer and printer of custom labels based in the Midlands has been acquired out of administration. Paramount Labels & Tags Limited, which trades from premises near Cannock, Staffordshire, fell into administration last month.
Paramount Labels & Tags manufactures and supplies custom self-adhesive label products across sectors including pharmaceutical and food and beverage. Over recent months, the company had faced increasing cashflow issues and growing pressure from creditors.
As a result, Mark Malone and Gareth Prince, partners at business recovery specialists Begbies Traynor's Birmingham office, were appointed as joint administrators to the company on November 30 and began exploring options for a sale.
After reporting that there was significant interest in acquiring the company, the joint administrators have subsequently secured a sale of Paramount Labels & Tags’ business and assets to Customark Limited, a fellow Midlands-based firm that provides industrial label and printing services, in a deal that secures 18 jobs.
Commenting on the sale, joint administrator Mark Malone said: "Having reviewed the company's financial position, it was concluded that selling the business out of administration was a realistic objective and would provide the best outcome for employees, suppliers and customers by securing continuity of supply.
"The company has a good reputation in its sector and the level of interest received during the sale process was very positive."
In the company’s most recent reports at Companies House, for the year ending October 31 2022, its fixed assets were valued at £765,026 and current assets at slightly over £600,000. At the time, the firm’s total equity amounted to £291,441.
Find out more about economic headwinds are impacting businesses and M&A activity in the UK's manufacturing sector.
Read about how the UK's rising levels of business distress and insolvencies are creating acquisition opportunities.
This exceptional UK-based manufacturer specialises in traditional timber box sash windows, offering unparalleled quality and customisation options for new builds, period properties, and Grade II listed buildings.
This is a unique opportunity to acquire a well-established manufacturer and supplier of NDT calibration products operating in a specialised industry.
Presenting a well-established bespoke kitchen design and installation business located in South Manchester, known for its exceptional craftsmanship and personalised service.
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.