Silverstar Foods, based in Kent, and which supplies caterers through its Turners Fine Foods brand, has gone into administration, with all operations ceasing with immediate effect and it is reported 457 staff are being made redundant.
The shock closure follows reported upbeat trading figures which revealed that turnover had increased by almost 30% to £41.5m in 2015. Operating profit had increased by almost 32% to £1.5m while pre-tax profits were reported to have increased from just over £1m in 2014 to £1.4m, according to accounts filed to Companies House.
At the beginning of July Silverstar, which had merged with Coastline Produce in early 2015 promising at the time to create 100 new jobs, had issued a warning that up to hundred jobs may be lost.
Joint administrator from KPMG Will Wright said: “Following a period of sustained losses, and despite the directors’ best efforts to affect a turnaround and sale of the business, the company was unable to continue [trading].”
The administrators kept essential staff to help complete outstanding orders, and to help close down the business.
“Over the coming days, we will commence an orderly wind-down of the business, and will also be speaking to any interested parties, with a view to trying to secure a sale of the assets,” said Wright.