In Brief: ZOO Digital; Castle Square Corporate Finance and Collcap Packaging; Irwin Mitchell; Plasmor (Halton)

ZOO Digital Group, the Sheffield-based group, which produces software used by companies in DVD and Blu-ray production, today says it is pleased with the momentum building in its ZOOsubs business, but expects to report a loss in its next results.

In an update on trading ahead of its financial year end of 31 March 2014, Zoo said the major focus of this financial year has been on the development of ZOOsubs, the group’s proprietary Cloud-based subtitle production and management system and associated services. ZOO said there is a strong pipeline of future prospects.
 
ZOO said that while it is pleased with the momentum building in ZOOsubs, its revenue profile tends towards delivery as an ongoing service rather than as licence sales, and accordingly revenue for the year to March 31 2014 is now expected to be below the company’s expectations and in the region of $9.5m. The company has also significantly increased its investment into ZOOsubs in order to meet the market opportunity and demand, including the development of a subtitling team with significant expertise in the sector. As a consequence, the company now expects to report a loss at the EBITDA level of no more than $0.4 m, and a loss before tax significantly greater than the previous year. However, ZOO said the prospects for its ZOOcore business remain strong and continue to contribute to recurring revenues.

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COLLCAP Packaging, which supplies major cosmetics and perfume brands, has undergone a management buyout.

The Staffordshire-based business, which supplies Boots, Hugo Boss, Next, French Connection, Ted Baker and H&M, has seen its management acquire equity that was in the hands of external private shareholders.

Sheffield-based Castle Square Corporate Finance advised the management of Collcap Packaging which has its UK operations in Leek and a subsidiary in Hong Kong.

Kevan Shaw, director at Castle Square, led the advisory team and was assisted by Lisa Ritson and Kevin Storm.

Adam Edwards of Barclays Bank, Stoke on Trent, provided the necessary finance for the buyout and working capital facilities, and the legal team of Simon Woodings and Peter Ellis of Stoke-based Beswicks Solicitors provided legal advice. Tax advice was provided by Adrian Hackett at the Sheffield office of Freeth Cartwright.

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LAW firm Irwin Mitchell, which was founded in Sheffield in 1912, has announced plans to open an office in Southampton – its ninth in the UK – as the latest stage in its strategic plan to drive further growth in its business.
 
The south coast launch will be the second new Irwin Mitchell office in four years and comes after a year in which the firm recorded income of more than £200m for the first time, completed its fourth acquisition since becoming an ABS and attracted 29 partner-level recruits as it continues to expand.
 
John Pickering, group chief executive, said: “This is another statement of our intention to grow our business even further. It again demonstrates the strong position we are in at a time when other many legal businesses face difficulties.” 

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A MANUFACTURING company has been fined more than £100,000 after a worker was crushed to death when a tipper truck overturned.

Plasmor (Halton) Ltd was prosecuted by the Health and Safety Executive (HSE) after an investigation found it failed to have a safety system in place for the delivery of raw materials, despite several tipper trucks coming onto the site every day.

The Yorkshire-headquartered company pleaded guilty to breaching health and safety rules at Liverpool Crown Court.

The court was told that David Astley, 56, had taken a truck of limestone dust to the plant on Tanhouse Lane in Widnes in July 2013. The dust is used by the company to make concrete blocks and slabs for the construction industry.The driver from Ellesmere Port, was tipping the load onto the site when another driver arrived at the plant with a second load of limestone. The second driver was told to empty his truck in the same place but, as he lifted the trailer, it overturned and fell on top of Mr Astley’s cab, causing his death.

Speaking after the hearing, HSE Inspector Jane Carroll said that Plasmor has since changed its procedures so staff are properly trained and tipper trucks are kept at least 20 metres apart.