A NEW company has acquired the assets of a failed Scottish seaweed business and revealed plans for a major expansion of its processing facility in Fife.

Scottish start-up Seaweed Enterprises has retained seven jobs following its purchase of the assets of Mara Seaweed, which fell into administration in June.

And the new venture has announced plans for a large-scale expansion and adoption of modern technology of its factory in Glenrothes, declaring its ambition to become the UK’s leading harvesting and processing hub for seaweed.

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Seaweed is an abundant natural resource that is thought to have significant untapped potential.

Following significant investment at its plant in Fife, Seaweed Enterprises hopes to produce and sell a range of species that it said are in demand from a vast array of offtake channels, which are already looking to seaweed for sustainable solutions. It highlights the food industry, skincare, and agri-business, in particular for goods such as fertilisers and feedstocks, as eventual destinations for its products.

Seaweed Enterprises was established by chief executive Pete Higgins, whom a statement said is experienced in getting businesses investor ready and scaling for growth. He has brought on board the senior team from Mara Seaweed, Arnie Sathiy and Clare Dean, who have several years’ practical and commercial experience in the seaweed industry.

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The team has secured private investment to roll out its business plan, which envisages the company becoming the leading seaweed processing hub, supporting sustainable business growth for the Scottish seaweed sector with market-leading technology, and promoting responsible harvesting protocols.

Mr Higgins said: “Seaweed is an extraordinarily beneficial natural resource whose potential is not yet fully realised, so this is a tremendously exciting time for Seaweed Enterprises and the sustainable seaweed sector as a whole.”

“Working in partnership with Scottish seaweed farmers, as well as the large volume from our licence to wild harvest granted by the Crown Estate, we are proud to be developing innovative products to the highest standard.

"Our state-of-the-art facility will offer not only volume much needed by many customers, but importantly the versatility and refinement for higher value items.”

Mara Seaweed, originally founded in 2011 as Celtic Sea Spice Company before rebranding in 2013, appointed administrators FRP Advisory on June 27 after running into “severe working capital issues following the withdrawal of funding for a committed expansion programme”.

Five of the 12 members of staff were immediately made redundant when the administrators were appointed to the firm, which was credited with pioneering the harvesting, processing, and manufacture of a wide range of seaweed-based seasonings.

Mara's products won a number of Great Taste and food industry awards, and regularly featured on TV shows such as the Great British Bake Off.

Joint administrator Callum Carmichael, partner FRP Advisory, said: "The sale is a great result for everyone involved with Mara Seaweed in particular the staff, suppliers and extensive customer base.

"It is particularly rewarding that seven jobs have been saved and the future of an innovative food processing business has been secured. We are extremely grateful for the support we received during the administration and wish the new owners every success with their acquisition."