Tullis Russell branded products on the market

Efforts to realise assets of stricken company

Prospective buyers are queueing up for the intellectual property assets of Fife paper maker Tullis Russell.

The Markinch company collapsed in April after racking up losses of £18.5 million over five years.

The company was hit by weak global demand for printed materials, rising raw material costs and strengthening of sterling against the euro.

Steps to find a buyer for the employeeowned firm, which was founded 206 years ago, proved unsuccessful.

The paper maker owed more than £50m and there is an estimated shortfall due to creditors of some £37.5m.

In the latest stage of efforts to recoup funds, administrators KPMG instructed Metis Partners, to put Tullis Russell’s intellectual property assets on the market.

The company had a lengthy record of UK and export sales of paper products to more than 120 countries.

Its brand names include Trucard, the solid bleached sulphate board specified by the Morrison Bowmore premium brand; and Mellotex, established in the 1930s and the first product approved by Canon for colour copying.

The Lustrulux and Gemini brands are also for sale.

End-users include L’Oreal, Chanel, Hallmark, Swarovski and Finlandia.

Nat Baldwin of Metis Partners said it was a unique opportunity to purchase the intellectual property assets of a business with globally-recognised products.

He added: “We have already received huge amounts of international interest from paper merchants and paper mills and are confident of successfully completing the sale of these valuable assets.”

The deadline for offers is tomorrow.