Former Colorgraphic [now part of Vertis] sales and marketing director Nick Dixon is believed to be behind the bid for the Sutton in Ashfield company. Dixon has been out of the industry for several years but is known to have been looking to make a return for some time. His former Colorgraphic colleagues Mike Hunter and Rick Taylor are also being linked with the bid.

KPMG Corporate Recovery is understood to be considering Dixons deal on an exclusive basis having spoken to a number of interested parties at the weekend.

Joint administrative receiver Allan Graham confirmed that Howitt ran into difficulty due to the high level of borrowing, costly acquisitions and expansion plans, combined with a difficult and competitive trading environment.

The core of the business however was sound, Graham said. As a result we are in serious negotiations with one party and are hoping to make a going concern sale soon, he said.

Dixons bid, if successful, will have beaten off competition from two other suitors, understood to be The Print Factory in Northampton and an unnamed non-print plc.

The Print Factory managing director Steve Brundle confirmed he had made an offer but was informed late last night (Sunday 1 February) that it had been unsuccessful. It is a beautiful, beautiful company, but its going to need quite a cash injection and I didnt want to sell the family silver.

I will be very jealous [of Dixon]. There will be a very big green man sitting over in Northampton, Brundle added.

Howitt closed its doors late on Friday afternoon after the administrative receivers were called in, leading to a weekend of negotiations. Bids had to be submitted by 11am on Sunday.

GPMU regional officer Kevin Hepworth said Howitt continues to operate as normal for the 346 staff and no redundancies had been made. The administrators are in but everybody is too busy to speak to me at the moment, he said.

Howitt chief executive James Elliot was unavailable for comment.

Last week PrintWeek revealed the company had been put up for sale in an e-mail newsflash. See original story here.

by Tony Brown