Point-of-sale and in-store marketing group Bezier has gone into administration just a week after it lost a £10m contract with Boots, Packaging News can confirm
Administrators from financial services group Deloitte were appointed to Bezier Limited, the print arm of the business, last night.
A spokeswoman at Deloitte confirmed the appointment this morning and a statement was being prepared as this story was published.
The news comes after retailer Boots pulled out of a £10m contract with the company, awarding the contract to the printer Linney Group.
The company’s London-based Global Brands division will, however, continue trading. A statement from the division said that Bezier’s board will now “focus on growing the business into one of the UK’s leading integrated communications agencies”.
Local newspaper the Wakefield Express has reported that Bezier has closed its factory in Wakefield.
The paper also carries a statement from Bezier chief executive James Buckley which says: “It has been an incredibly tough trading climate for print manufacturing businesses as new forms of marketing replace more traditional forms of print media.
“In making this decision we had to take a view of what was best for the whole company going forward and deeply regret the staff redundancies.
“This decision has not been made lightly and comes despite a series of stringent organisational changes designed to reduce costs. Unfortunately the current situation has become unsustainable.
“We are extremely grateful to all our colleagues for their dedication and will do our utmost to support them through this transition.”
Bezier is owned by private equity group HIG Capital, which bought the business in 2011.
However, the group lost its biggest contract, with Asda, in 2011. Figures for its last financial year, to the end of April 2012, showed that sales had fallen by 27% to £49.1m and the company recorded an £8m loss.
The company’s website has been taken offline, with a holding page saying simply: “We’re off building our new site, back soon…”
Calls to the company’s London office are being answered with an answerphone message.