Administrators search for buyer for fmcg
OLDHAM-based personal care and toiletry company Swirl Products – trading as fmcg – has gone into administration.
Administrators FRP Advisory are retaining all nine fmcg staff and continuing to trade while discussions are ongoing with possible buyers.
The company trades from rented premises in Chadderton near Oldham and creates brands in personal care and household products; well established brands range from Head Funk, Nuage, Salon Chic, Systeme to Active Handwash and Swirl Household.
Products are sourced for a broad range of core customers including a number of well-known high street retailers. The business has a presence across the UK and 32 other countries worldwide.
The fmcg business itself has performed well but recently suffered an acute shortfall in cash-flow following the sale of its shares to Statestrong Products at the start of September.
Those cash pressures left fmcg with no viable alternative other than to seek the protection of administration to allow the business to continue to trade.
The administration of fmcg ring-fences the business’ on-going trading from Statestrong which itself entered administration earlier this month after a rapid expansion resulted in Statestrong exhausting its working capital facilities and ultimately impinged on the cash-flow of newly acquired fmcg.
Statestrong customers span Europe and cover diverse market sectors including health & beauty, household, automotive and industrial and its business trades from a head office at Lytham-St-Annes, Lancashire, and Taporley, Cheshire.
Russell Cash, joint administrator at FRP Advisory said: “There is already interest in fmcg; this comes as no surprise as the business commands a leading presence in branded personal and household care products for the discounters, supermarkets and pharmacy chains.
“We have retained all of fmcg’s nine staff who bring with them years of experience in a very well run business with a robust operational performance and an array of long-standing loyal customers.
“The administration is a necessary process to allow fmcg to continue to trade, ring-fenced from the problems created by Statestrong.
“The interest we have received means we are hopeful of achieving a sale of the business in the short term.”
