3F Pellets, based in Saxilby, Lincoln, has entered administration.
Established in 2015, the manufacturer and supplier of wood-based pellet products such as cat litter, horse bedding and biomass heating pellets, recently invested heavily in machinery and equipment with a view to further expanding into the Biomass industry, but had unfortunately struggled to break into the market leading to financial difficulties.
Restructuring and recovery specialists Andy Pear and Milan Vuceljic of Moorfields Advisory were appointed joint administrators of the business on 22 February 2023.
Moorfields are now marketing the business and its assets for sale.
Andy Pear, partner at Moorfields, said: “3F Pellets has a good customer base and the right location and equipment but similar to many companies has struggled with new market entry. We hope to find a suitable purchaser for the business and assets who will be able to expand the business as intended.”