THE jobs of 85 workers at Tyneside pie-makers Tindale & Stanton have been saved following a management buy-out.
The Burnopfield firm collapsed a fortnight ago for the second time in a year after suffering cash-flow problems. Administrators had cut 25 of 111 jobs while they carried on trading the company.
It was owned by Yorkshire entrepreneur Arthur Harris whose other business, Scarborough-based Bakery Products, had gone into administration at the same time and shut with the loss of around 100 jobs.
But yesterday administrators The P&A Partnership announced that a consortium, Star Cottage Bakery, set up by four former managers at Tindale, had taken over the Tyneside business.
Administrator Andy Wood said: “We are pleased to have been able to sell the business as a going concern, particularly as the buyers are former employees. The quick sale of Tindale & Stanton is an endorsement of the rescue process that an administration enables.”
Another former director of Tindale & Stanton claimed last week: “It was potentially an absolutely storming business. We had lots of sales coming in and the forecast showed superb profitability for August/September.”
In a separate deal, two bakery shops in Harrogate which were owned by Bakery Products Ltd, Scarborough, have been sold to a new company, Howards Bakery Ltd, saving 16 jobs.
Another of Harris’ businesses, the 20-strong Ugo chain of budget supermarkets, also went into administration earlier this year and was later sold to Poundstretcher.
Tindale & Stanton, whose pies and savouries are well-known at cafes and shops, went into administration last November after cash-flow problems following the loss of a deal to supply Netto stores.
Its latest problems follow that of Durham- based Peters Cathedral Bakers. Administrator KPMG said yesterday it is continuing to trade the business while it looks for a buyer.