No buyer has been found for innovative plastics recycler PlasRecycle so its assets are to be auctioned next month.
The company was placed into administration on 15 July after racking up £6m of debt and failing to make a profitable operation.
Twenty employees of the 36-strong workforce were made redundant at the time, with those left processing existing contracts. A site manager remains to assist the administators who have recruited a security firm for the premises.
Hunter Kelly and Charles King of EY were appointed joint administrators of the firm and have been marketing the business for sale.
They said a suitable price that would generate the best result for creditors had not been agreed, despite interest in the business and discussions with parties from the UK and Europe.
The equipment will now be sold by auction on 6 October by Hilco Global if a buyer cannot be found by this date.
PlasRecycle’s 6.25-acre facility in Woolwich, south-east London, can process up to 9,000 tonnes of recycled low-density polyethylene a year.
The process lines, installed between 2013 and 2016, are configured into three main sections, and include MRF sortation and size reduction, dry cleaning and wet washing, densification and extrusion lines.
- 19 Sept: Staff on site updated.
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