Leading pot plant grower P A Moerman has gone into administration following financial difficulties.

The Lincolnshire-based firm, which produces over ten million plants per year from more than 10 hectares of glass, has a turnover in excess of £10m and employs up to 200 people in peak season.

However Commercial Grower understands that 98 of the permanent staff have been made redundant, with just 31 retained to continue trading on a limited basis.

Mike Burgess from accountants Grant Thornton, which is handling the administration of the firm, confirmed that both Moerman and parent company Suttons Horticulture were in receivership. He added that it would hopefully be possible to pursue the sale as a going concern, but if not an ‘orderly disposal’ of assets would be carried out.

None of the directors at Moerman were available for comment this week, with calls being forwarded to the administrators.

Burgess said that there is no clear timetable for developments, but the key concern is to find a buyer as soon as possible.

Local press in the Lincolnshire area has reported that the firm had previously been refused planning permission that would have allowed it to develop and secure the long-term future of the business.

Moerman had also expressed its concern over the rising energy prices, which it inferred was putting a serious strain on profit margins.

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