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Wigan plastics firm Leaco appoints administrators

Wigan-based plastics firm Leaco has fallen into administration and closed with immediate effect, it was announced on Thursday.

The company employed 16 people and operated a plastic extrusion business which made a wide range of products, many of which were supplied to the floristry trade.

Joint administrators Bill Dawson and Dan Smith were appointed on 14th May when trade ceased and all staff were made redundant.

Bill Dawson, leader of the restructuring services at Deloitte in the North West, commented: “Unfortunately, the principal cause of the company’s failure was the decline of a connected business, leaving Leaco Ltd with an additional debt burden to service.

“Due to a lack of raw materials on site at the time of appointment we were unable to continue trading the business.

“However, Leaco has a strong network of customers from which we’ve received a number of messages of support, and as such we’re hopeful of securing an offer for the business or assets.”

This was posted in Bdaily's Members' News section by Miranda Dobson .