The company announced at the beginning of the month that it was to close in Jersey at the end of this week.
Yesterday it revealed that the wholesale catering businesses of Cimandis Guernsey and Cimandis Foodservice in Guernsey – also covering Alderney, Sark and Herm – would close at the end of August.
Talks were going on with potential buyers but they did not succeed.
The company blamed increased shipping and rent costs and ‘the unique logistical challenges of operating in an island market’.
‘I would like to stress that this decision has not been taken lightly, and everything that could be done to avoid this scenario was explored,' said managing director Nigel Holliday.
'However, despite our best efforts, the economic environment has rendered ongoing operations in Guernsey unsustainable.'
He said that continuing to serve island-based customers would remain the top priority for the business.
‘Please rest assured, we will take every necessary measure to ensure a smooth transaction for you and all of our customers,’ Mr Holliday said.
‘As well as this, we will be running stock clearance sales to help support local food operators with the essential products needed to maintain menu continuity during the busy summer season.
‘This will be a gradual change, and as a result, we will be working closely with our recruitment agencies and other local employers to assist our affected team members in finding new roles.’
Less that four weeks ago the local operation said it remained optimistic about its performance and future in the island and said it was ‘doing everything’ to keep trading in the island.
‘The decision to close our Jersey operation was incredibly tough, but each island is different and we are currently optimistic about our performance in Guernsey and the future of this part of our business,’ Mr Holliday said at the time.
‘The devastating situation in Jersey is the result of specific operating conditions affecting our division in Jersey alone.’
Cimandis is currently based on the Pitronnerie Road Industrial Estate, but its building is up for sale for £5.8m.
The property details state Cimandis’ 15-year full repairing and insuring lease expires on Christmas Eve.
The building’s current rent is £400,000 a year.
Food industry insiders admitted that they were concerned about the Jersey closure and, as it proved, rightly feared for Guernsey prospects.
Cimandis is owned by the Caterfood Buying Group in the UK, which is ultimately backed by the South African-based global B2B group Bidvest.
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