Budelpack goes into administration
One of the world’s largest contract manufacturers, Budelpack Holding has gone into administration and is now seeking ways to avoid bankruptcy.
One of the world’s largest contract manufacturers, Budelpack Holding has gone into administration and is now seeking ways to avoid bankruptcy.
Budelpack has been grated a suspension of payments by a court in Breda, the Netherlands in order to keep back baying creditors while the company struggles to find a way out of the crisis.
It is thought that much of the company’s troubles began following the acquisition of doomed cosmetics manufacturer COSi just over a year ago. Following a large investment into materials for the company at its South Wales production site the company suffered a huge drop in sales and eventually ceased trading in December 2008. Coupled with disappointing sales of its business in Spain, which is now reportedly bankrupt, the company as a whole is facing uncertain times.
The company is now reportedly selling shares in its successful branches in order to raise more money. However, with the financial crisis surging on it is a hard market in which to sell.