Wigan-based sauce manufacturer Simano Foods has been rescued from administration.
Simano, which is behind brands including Pasco and Curry Express, hired administrators after suffering “unforeseen losses” on a number of major contracts over the past year.
In 2012, the company rolled its Pasco curry sauces to more than 120 Asda stores across the UK, and Tesco stores in north west England.
Its remaining Pasco products at Asda were delisted last year, according to Brand View.
Following the losses of major contracts, the company suffered a build-up of trade liabilities and was placed into administration on 8 May, with Mark Colman and John Titley of Leonard Curtis Business Rescue and Recovery appointed as joint administrators.
It was rescued from administration with a pre-packaged sale to a “connected party”, saving 11 jobs at the Wigan manufacturing site.
The company was started by the Khade family selling homemade curry pastes in 1992, growing into the retail market as well as securing contracts in wholesale and the foodservice industry. It has also completed private label work for Tesco, Happy Planet and French’s, according to its company website.
According to the last available accounts, the company owed £689k to creditors for the year ending December 31 2016 and a further £360k of bank loans.
Last month, Seema Khade set up new companies Pasco Food Limited and Simano International, according to Companies House.
A Leonard Curtis spokeswoman said: “The business entered administration as a result of unforeseen losses on a number of major contracts, which meant the company suffered a build-up of trade liabilities. Legal action was imminent and therefore appropriate steps were taken by the directors to preserve the business. The administrators concluded a pre-packaged sale of the business to a connected party after an extensive period of marketing. This resulted in the transfer of 11 employees to the new purchasing entity.”