New Zealand's largest mussel factory, Tauranga-based North Island Mussel Processors Limited (NIMPL) has gone into receivership, threatening the jobs of 20 full time staff and 200 seasonal workers.
The news was released today by Sanford Limited.
North Island Mussel Processors Limited is a company one third owned by Sanford Limited, Sealord Group Limited and Greenshell Investments Limited.
A Sanford Ltd spokesperson said the action was the consequence of Greenshell New Zealand Limited failing to pay processing fees of $1.2 million and other debts dating back six months.
Greenshell New Zealand Limited are the parent company of Greenshell Investments Limited.
The spokesperson said the other shareholders in NIMPL, Sanford and Sealord, were committed to working with the receivers to see if mussel processing operations could commence once the new Coromandel mussel season started in mid-October.
The spokesperson said the receivership would have no material effect on the financial results or any of the banking covenants of Sanford Limited.
NIMPL is located on Glenlyon Avenue in Greerton.