Administrator PKF was appointed to the 111-year-old Walsall-based label print firm on 1 December, and made 35 staff redundant from the 80-strong workforce.

However, other companies in the Walsall Print Group, which includes UK-based Walsall Security Printers and Cartor Security Print in France, are unaffected and continue to trade normally.

PKF partners Ian Gould and Brian Hamblin were called in by the directors of the business following problems caused by "severe competition, which had led to slim margins".

Gould said that despite the firm investing in new technology, the volume of business required to sustain the investment failed to materialise.

"The directors have acted swiftly to identify the problems and so we are able to continue trading the company while we seek a buyer," said Gould.