Surcouf-owned Phoenix Foods is to close on 30 September, with the loss of about 25 jobs at its Guernsey-based food wholesale business, which sources goods from the UK and the continent and distribute hotels, restaurants, cafes, pubs and schools.
Formed around 25 years ago, the company has said in a statement that staff have been notified that their roles were 'at risk'.
The company's Martin O'Meara said that it had proposed this measure 'reluctantly' and the decision not to enter into another long-term lease was due to the current economic climate.
Commercial Director Martina McGibney said it would ensure that Guernsey's code of practice is maintained through the consultation period.
McGibney added, 'Efforts were being made to find new jobs for those affected: 'We have already made calls to the Managing Directors/CEOS of other competitive food wholesale businesses to help seek alternative re-employment for our valued colleagues.'
