Documedia has appointed administrative receivers and made 22 staff redundant with the closure of its London office after experiencing on-going cashflow problems.

A spokeswoman for administrative receivers KPMG, who were called in on 18 October by the document communications company, said they were hopeful that the business would be sold as a going concern.

"Following our appointment we have been working closely with staff and management to try and secure a sale of the business," she said.

She said management had decided to close the London office, and make a total of 22 staff redundant across the London and Cheltenham offices, before KPMGs appointment.

The company provides a wide range of production, fulfilment and distribution facilities for print, e-media and web-based communications.

From design and typesetting through to litho, thermography and digital printing to finishing, Documedias clients include names such as British Airways, Financial Times, Allen & Overy, Cartier, Chanel and Pinsent Curtis.

The company had offices in four locations and a turnover last year of 8m.

It is now down to 135 staff employed in three locations at Cheltenham, Bury St Edmunds and Birmingham.

Story by Andy Scott