Warburtons has announced the purchase of North East Bakery’s former site in Newburn, after the retail and wholesale business went into administration in December last year.
Joint administrators, Ian Green, partner and Mark Loftus, director of PricewaterhouseCoopers LLP had been looking to sell the business and assets of the company, comprising the 20,000sq ft bakery in Newburn, Newcastle upon Tyne, and 13 retail units.
A spokesperson for Warburtons confirmed that it had purchased the North East Bakery site, which is adjacent to its existing Shelley Road Bakery on Newburn Industrial Estate, saying: “This purchase demonstrates Warburtons’ commitment to the future development of the business in the North East.”
“We are pleased to have secured a sale of the bakery site in a relatively short period of time,” commented Loftus. “It can only be good news for the local economy that Warburtons is the buyer.”
The Newcastle-based firm, run by entrepreneur Greg Phillips, went into administration on 22 December after costly rebranding plans and “a disappointing trading performance” saw the firm’s liquidity hit hard.