The East London-based retail display specialist, which was part of the Hexcite Group at the time, went into administration on 17 December blaming cost inflation and the impact of the coronavirus pandemic on the retail sector.

The business and assets were subsequently sold as a going concern to GB Sign Solutions, part of the PFI Group.

According to the directors’ statement of affairs filed by administrators from Kroll Advisory, Kesslers International has an estimated total deficiency of £17.42m, with shareholder Friars 730 Ltd wiped out to the tune of £2.4m.

HMRC heads the list of company creditors, owed £2.61m, while Kesslers Stratford Ltd was owed just over £1m.

Parent Hexcite Group was owed £135,317. 

The biggest creditor in terms of suppliers to the business was Chinese manufacturer Hangzhou Dunli I&E, owed £537,649. A host of industry suppliers, including other printers, are listed as being owed four- and five-figure sums.

Inventory, stock and work-in-progress with a book value of £3.93m is estimated to realise just £100,000 according to the report. 

The statement of affairs also includes a statement of concurrence note from Wesley Mulligan, group CEO of the Hexcite Group, thus: “The balance sheet position is at mid-month point and is not audited. Postings may not be fully updated on journal movements ie reversing journals.

“Creditor balances are subject to the timely posting of goods receipt, invoices and payments and a poor ERP system and disruption is likely to have put A/P accounts out of alignment to supplier statements.”

In 2019 Kesslers International had sales of £20.37m and reduced its operating losses from more than £499,000 to £52,415.