ICSM Business – Print Industry Insolvency News: nobody is picking up the phone at Celloglas as the print finisher is put up for sale

By Harry Mottram: Concerns have been raised about the future of Celloglas after it was revealed the print finishing firm was up for sale in the trade publication Print Week. Writing for the website Jo Francis reported: “The sale memorandum, ‘Project Star’, issued by Lambert Smith Hampton states that “a challenging economic environment has resulted in a requirement to explore an accelerated sale of the company’s business and assets”. It is handling the sale on behalf of Celloglas’ directors.”

The report comes as a shock to the industry in general as Celloglas has sites in Reading, Leicester and Leeds producing decorative finishing services including the Mirri brand for publishers and printers alike. Jo Francis reported that the company’s sales director Steve Middleton said: “We are looking for new investment to restructure the company and an offer has already been received.”

She noted: “The sale memorandum states that Celloglas, which employs 77 staff, had sales of £9.8m in calendar year 2023 and made a net loss of around £100,000. Sales are predicted to increase to £11.2m this year with a net profit of around £400,000.”

ICSM has approached Celloglas for a comment and understands there has been at least one expression of interest for the business but so far have not had a statement. Expressions of interest are requested before 10am on 15 April, with an offer deadline of 10am on 22 April.

Ian Carrotte of ICSM said most people in the business will be aware that back in 2009 the company had entered administration with Newcelloco acquiring the business and renaming it Celloglas.

He said: “This was a time [2009] when print was being hit by the internet. There were declining sales of newspapers, magazines and brochures etc but also the aftermath of the Credit Crunch financial crisis. I note that Celloglass has listed the knock-on effects of Covid and the hike in energy costs during the Cost of Living Crisis.”

See the Print Week report here: https://www.printweek.com/content/news/celloglas-up-for-sale

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