More jobs go at Tullis Russell as KPMG’s hopes of sale fade

KPMG announced the news as it confirmed that it had failed to attract a buyer before this Monday’s deadline.

KMPG said that a further 21 workers have now been made redundant, joining the 325 employees who lost their jobs last month when the business collapsed.

Only 128 staff now remain at the plant in Markinch where operations are now being wound down with a view to selling the assets.

Joint administrator Blair Nimmo said the level of interest shown in the business had been “disappointing”.

KPMG said it had approached some 200 parties in a bid to sell the employee-owned business but no offers had been received by this week’s deadline.

Before the group entered administration, Tullis Russell Papermakers had been widely marketed for sale with 64 parties worldwide approached.

Mr Nimmo said: “The business continues to face considerable economic challenges as a result of weakening global demand for printed materials, rising raw material costs and the strengthening of sterling against the euro.

“We will now be working with the company’s remaining employees to continue to wind down operations and focus on realising the company’s assets. Unfortunately that will mean further redundancies but we will continue to work with government agencies to offer support to those affected.”