lSH appointed to sell aylesford newsprint’s CHP plant after business assets are sold for £8.74 million
Property and asset consultants at Lambert Smith Hampton (‘LSH’) have been appointed to carry out the private treaty sale of a combined heat and power (‘CHP’) scheme as part of the administration of Kent-based Aylesford Newsprint.
The recycled newsprint paper manufacturer was the longest established producer of 100% recycled newsprint and helped to save half a million tonnes of paper going to landfill each year. The company, which was founded in 1922, ceased to manufacture in February 2015 following the appointment of administrators Allan Graham and Rob Croxen from KPMG. LSH was subsequently appointed to undertake a sale of Aylesford Newsprint’s business assets, with a variety of online auctions and private treaty phases held in May, resulting in total realisations of £8.74 million.
LSH, in association with John Wilkie Paper Mill Services Ltd, has now been appointed to bring the CHP plant to market, with offers sought in the region of £2.5 million. The site comprises a water treatment plant, two CHP facilities, a steam turbine and a steam turbine generator. The CHP scheme at Aylesford Newsprint was run by mill employees on a day-to-day basis providing power to the newsprint, some external customers, and a small proportion to the national grid. The plant was able to convert 16 tonnes per hour of process paper waste into steam used for both paper manufacture and power production, significantly reducing the level of emissions produced. Service history and viewings of the site are available upon request.
Commenting on the instruction, Mike Hanson, Director at LSH’s Machinery & Business Assets team, said:
“Despite the unfortunate circumstances surrounding the closure of Aylesford Newsprint we were able generate widespread bidder interest in the business’s assets at auction in May. We will now be undertaking a targeted campaign to ensure the successful sale of the associated CHP scheme and are anticipating significant interest from a range of prospective buyers.”