The Label Centre, the Clondalkin-based label business, has been acquired by Watershed, a Dublin packaging company, for an undisclosed sum.

The Label Centre has been in receivership since October 19th and has been the subject of legal action involving some outgoing directors.

The business was acquired by tender from the receiver, Mr Pearse Farrell of Farrell Grant Sparks.

The consideration has not been disclosed but the Label Centre had an annual turnover of between £5 million and £6 million and was the largest supplier of labels in the Republic. Mr Gerry Byrne of Watershed has been appointed managing director of the Label Centre with immediate effect.

It is estimated that 75 per cent of the Label Centre's business was exports and Watershed hopes to regain the customer base, which included Tesco, Sainsburys and Avonmore Waterford Group.