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Jun 07, 2024

Family

A family-owned business which has an existing UK base in Essex has acquired the business and assets of a North East-based packaging company out of administration, in a deal saving more than 100 jobs.

A family-owned business which has an existing UK base in Essex has acquired the business and assets of a North East-based packaging company out of administration, in a deal saving more than 100 jobs.

Martyn Rickels, Simon Farr and Allan Kelly of business advisory firm FRP have sold the business and assets of iTEC Packaging (Chester-Le-Street) Ltd, which fell into administration on 5 April 2023, to Shalam Packaging Group.

The acquired business will trade as Shalam Thermoforming (UK) Ltd, and the deal includes the transfer of all 117 staff and assets on a going-concern basis.

Established in 1982, family-owned Shalam Packaging works in the manufacture of plastic packaging and operates across multiple sites in four countries.

Man'e Shalam of Shalam Packaging said: "We are excited to expand our footprint in the UK with the addition of this fantastic facility. Shalam currently operates an injection moulding and IML factory in Basildon which we have owned for more than 15 years.

"Now having thermoforming solutions manufactured here in the UK allows us to provide a wide portfolio of technologies backed up by the products from the wider group and material from our in-house recycling facility."

Martyn Rickels, joint administrator of iTEC Packaging, added: "The sale of iTEC Packaging to Shalam Packaging in less than a month is a brilliant outcome for all involved. It not only helps with continued production for the customer base, but it also sees 117 jobs saved.

"We wish Shalam Packaging all the best with the acquisition and their future plans."