Global MP kit sold, but mailing arm status unclear

PrintWeek Team
Wednesday, July 2, 2014

It has emerged that the kit from collapsed Global MP has been sold to an undisclosed buyer, while separately the status of subsidiary Global MP Mailing remains unclear.

Basil Bannayi
Basil Bannayi

Global MP ceased trading yesterday, following the appointment of Chris Ratten and Jeremy Woodside from Baker Tilly as joint administrators yesterday. All 150 staff were immediately made redundant.

Close Brothers Asset Finance confirmed that the kit was sold late on Monday afternoon (30 June), the day before the company was placed in administration, after all hope of a solvent sale of the business had been lost.

“While there had been other interest, we worked really hard with Mark Scanlon at Walstead to try and provide a solution that would preserve as much employment as possible,” said Basil Bannayi, Close Brothers Asset Finance managing director.

“We looked at every possible solution and it was only after the last opportunity to save the company as a going concern had failed that we sold the equipment, because in the end we had no choice. It’s very sad for the affected staff."

However, Bannayi said that the identity of the buyer was covered by a non-disclosure agreement.

The kit sold included two web presses, a raft of web finishing equipment and a 12-colour Heidelberg Speedmaster with Cutstar.

Meanwhile, the situation at Global MP Mailing (formerly Prospect Mailing Services) is unclear. The firm employs around 35 staff.

It is understood that it will most likely go into liquidation because it has no assets and its invoices went through Global MP.

While Global MP administrator Baker Tilly has no jurisdiction over subsidiary Global MP Mailing, which is not in administration or liquidation, it did confirm that its 35 staff have been excluded from Global MP site they operated out of and that the employees “are in discussion with the director in relation to finalising its affairs”.

One worker at the firm said: "Griffin and Prospect staff have already been shafted previously. We felt like crying when we were told what had happened yesterday.

"The staff are brilliant and the work would have been there.”

HMRC logged a winding-up petition at Companies Court against Global MP Mailing on 14 May, which was heard on the 30 May and adjourned to 1 September.

Printweek welcomes informed debate, but all comments must comply with our house rules which can be read here: A-Z of using the Printweek forums

LATEST COMMENTS ON PRINTWEEK

© MA Business Limited 2023. Published by MA Business Limited, St Jude's Church, Dulwich Road, London, SE24 0PB, a company registered in England and Wales no. 06779864. MA Business is part of the Mark Allen Group .