Trade finisher Avon Graphics has sealed the deal to buy troubled Protectaprint after initially backing out of the proposition at the eleventh hour last week.
Under the deal brokered with administrators Cor Cordis, Protectaprint will continue to trade at the same location in Melbourne’s Braeside and under the same name with the three remaining staff now employed by Avon Graphics.
The purchase means Avon Graphics can now offer laminating services for oversize sheets in Melbourne, where previously this was only possible out of its Sydney factory.
Avon Graphics managing director Tate Hone told Sprinter that after “a lot of backwards and forwards” the deal will be finalised by the end of this week with all existing staff and machinery coming under Avon Graphics.
“We have come to an agreement after the 11th hour and we are happy with the deal we have agreed on so now we are just finalising it,” Hone told Sprinter.
“We expect to settle this week.”
Hone said the two brothers, Richard and Steven Wilkinson, who started Protectaprint in 2017 after purchasing the Victorian division of Allkotes are now moving on.
“The two brothers that were the previous owners are moving on and the remaining staff are being retained. It is business as usual under the Protectaprint name at the same factory and on the same machinery,” Hone said.
Protectaprint is based in Melbourne’s Braeside, which is about a 20 minute drive from the Avon Graphics site in Rowville.
“We are offering laminating and UV coating services just the same as Protectaprint.
“We can now offer laminating on oversize sheets up to 1450mm wide. We offer that out of Sydney but now we can also offer it in Melbourne.
“It took a lot of backwards and forwards but we finally got there in the end.”
Protectaprint is understood to be in debt over $1 million, including a large sum in several hundreds of thousands to the Australian Taxation Office and also a substantial triple figure sum to a supplier plus a group of smaller creditors.
Cor Cordis partner Barry Wight also confirmed the sale.
“We are pleased to announced that an agreement has been reached in principal for Avon Graphics to purchase the business and assets of Protectaprint Melbourne on a going concern,” Wight said in a statement. “The Liquidators and Avon Graphics are currently in the process of finalising the relevant terms of the sale agreement and anticipate being in position to formally announce the conclusion of the transaction shortly.
“A further updated will be provided by the liquidators and Avon Graphics at this time.
“We thank the ongoing support of customers, employees and suppliers to date. We encourage customers to continue placing their orders in support of the business at this time. In the interim, customers can send their order requests to care of the Liquidators’ office to facilitate same via smitting@corcordis.com.au.”
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