York Mailing has bought the assets of Brackmills-based Centre Web from administrator BDO Stoy Hayward for an undisclosed sum.

York Mailing director Chris Ingram confirmed that the deal had taken place, but said he was unable to disclose any further details due to a confidentiality agreement with BDO Stoy Hayward.

A spokeswoman for BDO Stoy Hayward added: Under the agreement York Mailing has taken on the workforce. I believe that a further announcement regarding the future of the business will be made in the coming weeks.

Centre Web, which has 40 employees, blamed a difficult first quarter and cashflow problems for its fall into administration (PrintWeek, 10 August). It recorded a turnover of 7.1m to January 2000 with a pre-tax loss of 39,000.

Centre Web owed creditors approximately 2m and had limited assets, as its premises in Northamptonshire were leasehold. The number of companies affected by bad debt is unknown.

Selected assets of York Direct, including a Harris press, were bought from receivers PricewaterhouseCoopers by former managing director Mike Newbould last August and incorporated into York Mailing.

A spokeswoman for PricewaterhouseCoopers said York Direct was still in administrative receivership and would not be liquidated as there were no more assets to release. It has left secured creditors with a shortfall, and therefore all unsecured creditors have remained unpaid.

York Mailing, which has 60 staff, was set up in 1998 as a specialist finishing house for the direct mail market. It operates from York Directs old premises using the same telephone number.

York Mailing has only filed abbreviated accounts for the last financial year.

A Midlands-based printer said: York are the worst offenders on pricing, this will cause mayhem, and wont be good for the trade. Its suicidal news.

Story by John Davies