Prolog, a Nottinghamshire warehousing, distribution and logistics service, is expected to enter administration next week (26 November), its proposed administrator has confirmed.

The company, which has licences authorising 16 HGVs out of its Sherwood distribution park depot, plus another seven from a site in Sudbury, Suffolk, employs 618 staff.

Mazars  said a notice of intention to appoint an administrator was filed in court on 20 November “following the withdrawal of financial support by a group company.”

In a statement it said Rebecca Dacre and Simon Chandler were expected to be appointed joint administrators. It added that all staff had been notified and they were continuing to work to support the company.

“Even at this early stage, I would like to thank the staff and customers for their positivity and support at what is a very difficult time,” said Chandler.

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“We are seeking to engage with all stakeholders to find a way forward that minimises disruption and gives us the best chance of retaining the workforce.

“The customers we have contacted have been responding very positively, and this is in part due to the excellent service and commitment shown by the company’s workforce in the past. We will continue working with all parties to reach the most positive solution possible.”

The last available accounts for Promotional Logistics, which trades as Prolog, showed that it increased turnover to £34.8m in the year ending 31 March 2017 (2016: £32.9m). However, it made a pre-tax loss of £1.13m (2016: £1.14m).

Companies House records show that a new business, Prolog Fulfilment, was incorporated on 20 November 2018.

It shares a common director with Promotional Logistics, Neil Daniells.