Polestar Wheatons in Exeter is closing its 50-staff sister firm Digital Techset and opening a small graphic arts studio.


The Exeter specialist in scientific journals hit trouble earlier this year after losing two major contracts for typesetting and compilation of directories and weighty journals when the publishers, Elsevier and Wiley, went overseas.


A spokeswoman said India was a favourite destination for such work because of the cost difference.


The closure will take place between 2 October and the end of December and there are talks for some of the staff to work in a new set up, she said.
Polestar is creating a studio on a much smaller scale for scanning and graphic work that was previously done by sister companies.


It will have around 10 staff at most and probably be called Scientifica Studio.


The studio is the opposite side of the story. It will bring work in house that was previously done elsewhere and the launch date will be on a par with the negotiations, she continued.


Tony Hall, managing director of Digital Techset and Wheatons next door, will also head up the new studio.


The GPMU said it expected talks over the closure of the firm to finish in a fortnight. We are still talking about the redundancy terms and alternative employment, said a spokesman.


Story by Jez Abbott