Administrators of Pulse Flexible Packaging have said manufacturing has now restarted at the firm’s two sites, but that 152 staff have been made redundant.
Jonny Marston and Howard Smith from KPMG were appointed administrators of the Bury-headquartered consumer goods packaging manufacturer on 3 April after the company suffered operational challenges that led to an additional funding requirement that could not be met.
Marston said: “Thanks to the overwhelming support of both customers and suppliers since our appointment, we have been able to recommence part-production across the business’s two sites.
“We are also in dialogue with a number of interested parties in the business, and will continue these discussions over the coming days and weeks in the hope of achieving a sale.
“Unfortunately, however, we have had to make redundancies across the two sites - 152 in total. We are now assisting these employees with their claims for any sums due to them from the Redundancy Payments Service.”
The company, which also has a production facility in Saffron Walden, had 350 staff prior to the administration.
Pulse Flexible Packaging was established in May 2014 following a management buyout (MBO) of the UK operations of Printpack Enterprises Ltd from US parent Printpack Inc.
The business recorded a turnover of £57.9m and gross profit of £8.8m for the year ended 31 March 2016. However, it had administration expenses of £5.7m and other charges that contributed to overall profit for the period of £1.7m.
A potential pre-pack sale of the firm was blocked due to its pension scheme being a shareholder and secured creditor of the business. The Pension Protection Fund (PPF) is expected to take on the scheme’s 700 members.