Paperlinx UK enters administration blaming falling demand and 'rise of digital communications'
Printing and publishing industry group Paperlinx UK has laid off more than half its staff after entering administration.
Paperlinx UK had previously employed around 1,200 staff with up to 693 made redundant on Wednesday (1 April) as 14 sites were forced to close.
Deloitte's Matt Smith and Neville Khan have been appointed join administrators of a number of Paperlinx UK businesses, including Robert Home Group, Howard Smith Paper Group, The Paper Company, and Paperlinx Services (Europe).
A statement issued by Smith stated that the administration appointment "specifically relates to Paperlinx UK's paper and visual technology solutions business".
"The industry has faced and increasingly challenging environment due to falling demand and digital communications have increased. We are investigating how best to maximise value in the business for the benefit of its creditors," he said, adding that the business would continue to trade "on a limited basis".
Five Paperlinx UK offices will remain open, including the Northampton head office.
Deliotte is looking for a buyer for part or all of the business and its assets, including packaging operations which are not in administration. Paperlinx's operations in Northern Ireland and the Republic, mainland Europe, Asia and Australasia are unaffected.