Ilford Imaging Switzerland, which makes Galerie-branded photographic inkjet paper, has declared itself insolvent after the 'last potential investor pulled out'.
The cash-strapped company has failed to find an investor despite interest from more than 20 parties since a UK backer pulled out earlier this year.
The last potential investor withdrew their interest earlier this week, Ilford Imaging Switzerland said in a statement today.
It adds that the company ‘is again facing liquidity issues and is no longer able to honour its full financial obligations’.
The firm has sent a letter to a court in Fribourg ‘declaring insolvency’.
Staff have been informed, according to the statement.
The company is totally separate from Ilford Photo which is based in
the UK and is unaffected (Ilford Photo is the trading name of
Cheshire-based Harman Technology which makes traditional b&w
photographic papers and film).
Earlier this year, Ilford Imaging Switzerland said it employed 230-240 people worldwide, mostly in Switzerland but six based in the UK.
Ilford Imaging Switzerland makes Galerie-branded photographic inkjet paper
The firm warns that the effects of restructuring measures taken in August will not be seen until the first quarter of next year.
At the time, Ilford Imaging Switzerland said it planned to bounce back from its financial difficulties, while cutting 40% of its workforce.
The firm announced a series of financial acquisitions and partnerships it said would allow it to embark upon a new business plan.
The management team acquired the Ilford Imaging and Property companies.
However, today’s statement adds: ‘After the liquidity issues during the summer, it was challenging to re-start the business, as many existing customers began to buy products from competitors which resulted in a large negative impact on the company’s revenue.’
Bosses said problems were compounded by reduced demand, falling prices and the fact that ‘most suppliers would only deliver raw materials against payment in advance’.
The statement continued: ‘The management is working closely with the State and the appropriate authorities in order to minimise the negative impact on all parties involved.
‘No further information can be provided until the decision of the court is made and the next steps are understood.’