Mascot to take over Sydney Allen – for now

Struggling sheetfed printer Sydney Allen is to be kept alive, with Mascot Printing entering into a business licence agreement to take over its existing operations.

The deal means Mascot will run Sydney Allen until it is sold or restructured. The company – which had sales of $14m – was placed into administration late last week, with the receivers then called in by Hall Chadwick.

After obtaining approval from senior management and secured creditors, Mascot drafted a transaction to ensure Sydney Allen clients and employees are serviced without interruption after the printer went into administration last week.

The 50 anxious staff at Sydney Allen – located in Sydney’s western suburbs – who had been contacting ProPrint after being kept in the dark about the fate of the company will wait to discover if they will be kept on during the period of the license.

Mascot says as a result of the agreement, key personnel and key suppliers are able to push on with business as usual without volatility, and allow Sydney Allen to commence its restructure programme.

Business consultancy Iconic Advisory – which rescues distressed businesses – handled the agreement.

[Related: Fight for sale of Sydney Allen]

Mascot Printing’s managing director Joe Pizzo says Sydney Allen’s client list and operations will experience no disturbance following the agreement.

“We are pleased to have been able to step in and support Sydney Allen. With key staff and management on board and the financial backing of Mascot, we are confident that we will be able to service all Sydney Allen customers without any interruption,” says Pizzo.

Sydney Allen director John Mangos, who has kept tight-lipped about the company’s future, says Mascot will help the business regain ‘sustainable footing’ and assures customers that it is ‘business as usual’.

He says, “I am pleased to have the Mascot team on board and are pleased to be getting Sydney Allen back on a sustainable footing. We want our customers to know that it is business as usual and we look forward to maintaining our strong working relationship with them.”

Mascot has been in operation since 1979, with current director Pizzo acquiring the company in 2000. The printer houses an offset and digital printing facility.

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