Flexible packaging manufacturer Surepak Limited is seeking a buyer after filing for administration. Dean Nelson and Nick Lee, Business Recovery and Restructuring Partners at PKF Smith Cooper, were appointed on 12 February 2024.
Sole director Stuart Yorston made the decision to file for administration to protect the company’s business, assets, goodwill and employees from a winding-up petition recently served by a creditor, which was due to be heard on 14 February.
Surepak Limited will continue to trade in the short term whilst in administration, as an accelerated merger and acquisition process begins with the aim of finding a purchaser in whole or part for the company.
Nottinghamshire-based Surepak Limited manufactures flexible packaging for businesses across a wide range of sectors in the UK. Incorporated in 1991, the company has been trading for over 32 years, starting out as a distributor before moving into manufacturing in 1995.
In 2007, the company relocated its base to a 45,000 sq ft, BRC ‘AA’ accredited facility in Nottingham to facilitate printing.
The company’s financial issues began during the global energy crisis when its electricity costs increased by more than 425%. This cost hike was followed by the loss of two major contracts, which reduced the company’s turnover by £1m due to customers’ packaging requirements and a relocation abroad.
Dean Nelson, Head of Business Recovery and Restructuring at PKF Smith Cooper, said: “Our aim is to preserve the business and protect employees’ jobs, in addition to maximising returns for creditors.
“We will keep stakeholders and the press informed of any developments as matters progress. If you are interested in purchasing the company, please contact me as a matter of urgency.”
