A slump in oil prices last year pushed Closed Loop Recycling close to administration, with it calling for financial support from the industry and government.
As a result, the Dagenham Closed Loop plastic milk bottle recycling facility, the UK’s largest recycler of plastic milk bottles, was sold to Dubai-based investment company, Euro Capital, to operate under the new name of Euro Closed Loop Recycling.
The sale saw the new owners immediately seeking support from the dairies and retailers for the Dairy Road Map and Euro Capital pledged an ongoing investment programme to support the business.
Following the sale, the new owners said the plant was losing around £300,000 per month, after which the company began seeking a potential new buyer for the plant.
Inevitably, however, the plant was shut down and staff were laid off.
Jason Elliott and Craig Johns of Manchester-based insolvency firm Cowgill Holloway Business Recovery LLP have been appointed as administrators.