Paramount Foods has resumed trading despite making more than 100 redundancies across the business.
A total of 118 employees have lost their jobs at the Cheshire-based frozen and chilled pizza manufacturer, which was placed into administration last week due to the loss of a contract with Morrisons, accounting for 40% of business.
Administrators David Whitehouse and Sarah Bell of financial advisory firm Duff & Phelps, said the business had begun to trade again, with a view to securing an ongoing trade sale of the business and its assets.
However, as a result of the move, 42 members of staff from Paramount Foods’ Salford site where it produces it pizza bases, and 76 individuals working at its Deeside facility, creating finished products, would lose their jobs, effective immediately.
Whitehouse said: “On appointment and as a consequence of the company’s insolvency, the joint administrators suspended operations whilst urgent discussions were held with key customers and parties who may be interested in acquiring some or all of the business.
“As a result of those conversations with the positive support we have received from key customers, Paramount Foods has resumed trading. Regrettably a number of redundancies were required in order to provide the opportunity to continue to trade the business in the short-term.”
He added that parties interested in a full or part buyout of the business should come forward and contact Duff & Phelps’ Manchester offices immediately.