A rescue deal has saved 90 jobs at Beverley decorating products maker Bartoline following its administration in the wake of a post-Covid slump in sales.
Growing Paramount Retail Group has acquired the historic businesses in an £800,000 deal, with a promise to develop its product range. The move comes after administrators were called in to the 148 year-old firm following a change of leadership in October and amid reduced sales and high costs. Documents from the administration show Bartoline owed £9.5m.
Paramount, which has revenue of more than £100m and owns other brands in the pet supplies, home improvement and confectionary markets, said the acquisition will safeguard the future of Bartoline as a cornerstone of the British DIY market. The firm is known for its range of adhesives, solvents and fillers and was acquired by private equity firm in 2021.
It was around that time the firm started to suffer a post-Covid slump in sales, coupled with higher raw materials and labour costs. Those issues were exacerbated by the start of the war in Ukraine the following year, leading to an operating loss of £2.14m. Last year the firm narrowed operating losses to £942,077.
Administrators at Alvarez and Marsal Europe LLP said: “The company has been unable to recover from the impact of the losses incurred in FY22 and the reduction in sales volumes following the Covid pandemic. As a result, over the course of FY24, it became increasingly challenging for the company to manage its cash flow position.
“In October 2024, the previous directors exited and a new senior management team was appointed to run the business. Following an initial review of the business and operations, the new management team identified an immediate funding requirement, driven by overdue creditor balances, which was creating cash pressure within the business.”
Paul Taylor, chairman of Paramount Retail Group, said: “Bartoline has been a trusted partner in countless home improvement projects over the past century, with a heritage and reputation for quality that make it an excellent addition to our portfolio. We’re proud to secure its legacy and look forward to driving its future growth through innovation and sustainability.”
Ravi Sharma, executive eirector of Paramount Retail Group, added: “Bartoline has tremendous potential. By combining its 100-year heritage with our resources and expertise, we aim to create innovative, sustainable solutions that resonate with today’s consumers. DIY is becoming more accessible than ever, and we’re excited to champion Bartoline’s role in empowering both seasoned professionals and first-time decorators.”
Original artice – https://business-live.co.uk/all-about/yorkshire-humber
