A Washington-headquartered printed envelope producer has expanded with the acquisition of a Leeds manufacturer, saving more than 120 jobs.
Encore Envelopes, a leader of the envelope industry with a turnover in excess of £28m, has saved the day for Yorkshire business, Great Northern Envelopes (GNE), after acquiring it from administration.
The deal saw the safeguarding of 129 jobs in total, as Encore Envelopes stepped in to purchase GNE, which had fallen into administration after experiencing difficult trading conditions.
Russell Croisdale, managing director of Encore Envelopes, said: "It's great news that we have been able to purchase the business and assets of GNE, as this transaction will provide continuous employment for the Company's experienced and loyal workforce.
"Importantly, the acquisition, coupled with the ongoing strong financial and technical support which Encore can provide, will also ensure the
continuity of supply for all Great Northern Envelope customers from its factory in Leeds."
Nick Reed and Bob Maxwell of Begbies Traynor in Leeds were appointed as joint administrators of GNE and the Company was immediately acquired by Encore Envelopes Limited.
Nick added: "While GNE has faced tough trading conditions in recent years, it will benefit from being part of a large, established company like Encore. In the circumstances, the sale is the best possible outcome for creditors, staff and customers."
Moving forward from the acquisition, the business will continue to trade as Great Northern Envelopes.
Encore Envelopes was advised by PwC and Langleys. Begbies Traynor was advised by Irwin Mitchell.
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