Hammond Packaging and Mannanco Plastics, both based in Wakefield, will be either sold together or as separate companies, with the aim to minimise any job losses. The two divisions employ around 30 staff.

The firm hopes to conclude any deal by May and already has six interested parties. Group chairman Neil Charlesworth claimed that growth in the companys other main markets was the reason for the sale.

Around 70% of our business comes from journals, and over time the packaging sector has become completely different.

The opportunities are greater in journals than packaging. In the latter the large runs are disappearing and more work is moving to Eastern Europe, he said.

The group hopes to secure a local buyer to secure jobs at the divisions. Charlesworth Groups printing division in Huddersfield is also due to move to Wakefield in a bid to boost efficiency. It will move in equipment including a five-colour Heidelberg Speedmaster 74 perfector and an Agfa Galileo VS B1.

Hammond Packagings kit includes a Stahl K66 3 KTL and a Muller Martini 221 DS 217 Trimmer.

Charlesworth group chief executive Graham Lawley said: The group has been reviewing its future. Hammond Packaging and Mannanco have a good client base and dedicated staff. It has been a tough decision.

Story by Philip Chadwick