Merlin Colour Printers, the Canvey Island-based firm bought by Bridge last year, was not placed in administrative receivership, and has been bought in an MBO led by managing director David Marrable.

Bridges bank, HSBC, called in administrative receivers from KPMG last Thursday (21 March) and a deal was concluded with PPL early the following day.

KPMG said it needed to achieve an immediate sale "to protect customers and give continuity of service".

PPL had been in talks about buying Bridge since the start of the year before cashflow problems forced its prey to collapse.

Bridge was a preferred print supplier to Xerox, which denied rumours that it had served notice on any contracts with Bridge before its downfall. Xerox said it would work with PPL for the short term at least.

PPL will take on all Bridges staff and the acquisition will double its sales to 15m. Bridge chief executive Simon Martin becomes PPLs commercial director.

The tale has had a happy ending for Merlin, which has had a difficult year culminating in the imprisonment of its former finance director (PrintWeek, 15 March).

Its MBO was concluded as PrintWeek went to press on Tuesday (26 March). Marrable said he had received the backing of all Merlins financiers on the condition that Martin and Bridge finance director Nick Lucas resigned from the Merlin board. He also has the support of a private investor.

* Bridge Communications of Romford has no connection with Bridge Direct (UK).

Story by Gordon Carson