Overview
- Zentia and sister firm Zentia Profiles appointed joint administrators from Interpath and have halted production at both Gateshead sites, leaving about 170 staff redundant.
- The company recorded a sharp financial decline in 2024 with turnover down about 12% to £48m and a pre-tax loss of £2.6m, and a major shareholder injected £6.5m last year in an effort to stabilize the business.
- Administrators cited weaker demand across the construction supply chain, high energy and production costs, and pressure from bringing new machinery into operation as the main drivers of the collapse.
- A small team has been retained to support the administration and Interpath has invited interested parties to contact them to bid for the business, assets and remaining stock.
- The closure removes a long‑standing employer in Team Valley and highlights stress in UK building supply chains; what to watch next is whether a buyer can be found and whether any roles can be restored.