MPS files for creditor protection

Label and flexible packaging press manufacturer MPS has announced that several of its Dutch entities have filed for provisional suspension of payments, known as a surseance van betaling, in the Netherlands. This step is intended to create the financial and operational space necessary to safeguard the company's long-term continuity.

MPS was founded in 1966 and has become a leading manufacturer of servo-driven narrow-web printing and converting systems, offering products for flexo, offset, screen, gravure, and hybrid digital-flexo printing.

The filings were made on October 23 by MPS Holding, MPS Systems, MPS Service and Commissioning, and MPS Supply Chain.

Independent administrator, Bewindvoerder, has been appointed by the court to oversee the process and support MPS management in assessing restructuring options. Together, they are working on a sustainable path forward for the company, its customers, employees, and partners.

Creditors with a claim without preference will not be paid for the time being as a result of the moratorium. This does not apply to the current obligations during the term of the suspension of payments; they should simply be paid. If this is not possible, the suspension of payments will have to be withdrawn.

Throughout this process, MPS operations continue without interruption where possible. All service, support, and commissioning activities are ongoing, and customers can continue to rely on MPS for the high level of quality and commitment they have come to expect.

CEO Michiel Borst said: 'Our priority is to ensure business continuity and to protect the interests of our customers, partners, and employees.

'The meaning of the suspension of payments or breathing space is to provide us with time and flexibility to strengthen our financial foundation and secure a stable future for MPS.

'The administrator estimates that the process will take a maximum of one month.'

A FAQ list will be published on the MPS website within a couple of days.