FRP takes over as Aberdeen paper mill enters administration

Iain Fraser FRP

A number of other Arjowiggins’ UK businesses, including the Chartham Mill in Kent, have also been placed in administration.   There are no immediate plans for redundancies in any of the UK businesses but the position will continue to be assessed.

The UK companies are part of the Creative Papers division within Sequana, a listed French manufacturer and distributor of paper, packaging and print solutions.  The administrations of the UK businesses follow a petition on 8^th January by Sequana to begin receivership proceedings for Arjowiggins’ French subsidiaries.

Arjowiggins Fine Papers Limited has a turnover of £120m and employs around 500 staff.

The joint administrators said they will continue trading all the businesses whilst seeking a buyer and are urging interested parties to make contact as soon as possible.

Joint administrator Iain Fraser, partner with FRP Advisory, said: “The Stoneywood Mill in Aberdeen has a long tradition and reputation for producing fine and creative papers of the very highest quality for a global customer base. Unfortunately, the business has been severely affected by rising costs and difficult trading conditions, and the insolvency proceedings begun in France left the directors no option but to place the UK companies in administration.  We will continue to trade the business whilst exploring all options for securing a future for the site.”

Arjowiggins’ UK companies that have entered administration are:

Arjowiggins Fine Papers Limited, Aberdeen and Basingstoke

Aberdeen (Stoneywood) - 489 staff

Basingstoke - 29 staff

Argowiggins Chartham Limited, Chartham, Kent

90 staff

Performance Papers Limited, Manchester

11 staff

Arjobex Limited, Clacton on Sea, Essex

48 staff

The Wiggins Teape Group Limited, Manchester

7 staff

Interested parties should contact the FRP Advisory LLP Aberdeen office on 0330 055 5455.