Frozen food firm closed down after search for buyer fails
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A Cheshire based frozen food firm has gone out of business with the loss of 60 jobs.
Freshpack – an Alsager-based frozen food manufacturer which went into administration last month – is to close after the business failed to find a buyer.
Administrators Dunham Dean Advisory said they had been liaising with a number of parties but the low margins in the industry had deterred all potential buyers. The 60 remaining staff will be made redundant.
Matt Dunham of Dunham Dean Advisory said: “The convenience food sector is the subject of intense competition, particularly at the value end of the market, and the fall in sterling has forced up costs.
“The margins that Freshpack could achieve were simply not sufficient to make it attractive to a buyer.
“While the business initially attracted strong interest, and we have been in discussion with a number of parties, none of them felt able to conclude a deal. After the only remaining buyer walked away this week, there was no alternative but to cease trading.
“It is with great regret that we have to announce the closure of the business but we would like to thank staff for their loyal support during what has been a difficult period.”
Established in 1952, Freshpack was one of the UK’s leading manufacturers of frozen pastry products and ready meals, and supplied frozen food and discount stores with its own brand and white label products.
The Alsager-based company went into administration in early June following a period of difficult trading but continued to operate while a buyer was sought.
Ten staff were made redundant in the wake of the administration and the remaining 60 will leave in the coming days.