Zany Zeus, the boutique Wellington dairy company, has been placed in receivership after a troubled expansion led to "significant" cashflow issues.
The family-owned company, founded in Wellington in 2000 but now operating out of a small factory and cafe in Lower Hutt, appointed PwC as receivers on Tuesday.
Selling premium organic products, the company is well known in the capital's hospitality scene.
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Originally founder Michael Matsis focused on Cypriot halloumi cheese, but in 2003 it expanded to produce organic milk under the Zorganic brand.
In 2012 it opened a cafe near its factory in Moera in Lower Hutt. The factory also produces organic ice cream.
The cafe gained fame in 2017 when actress Scarlett Johansson, who had been based in Wellington for the filming of Ghost in the Shell for several months, told international media that the cafe had "the best piece of chocolate cake I've had in my entire life".
Richard Nacey, a restructuring director at PwC said the company now supplied around 400 customers, from supermarkets to restaurants and cafes, mainly across the lower North Island. It's annual sales were "in the millions".
Nacey said the Lower Hutt factory had run into capacity issues around four years ago and so its director had attempted to expand to a new site in Seaview.
However the move had cost more and taken longer than expected, Nacey said.
"That's put some pretty significant cashflow pressures on the business, to the extent that the directors had no choice but to request the appointment of receivers."
Nacey said Zany Zeus clearly had a loyal following. He had been working from the company's cafe, which is closed on Mondays and Tuesdays.
"There's been people constantly banging on the door, asking for product. It's a pretty cool little place."
PwC was continuing to operate the business as usual, with none of the company's 29 staff made redundant as part of the receivership.
As part of the process, receivers would consider a trade sale or whether an investor wanted to put money into the business to trade through the issue.
Zany Zeus' products have won a number of awards, including the best ice cream by a boutique manufacturer for its Ghana Chocolate ice cream at the New Zealand Ice Cream Awards in November.