Eight staff have been made redundant after the Altrincham-based animation studio behind Clangers was placed into voluntary liquidation.
Located on the Altrincham Business Park, Factory was behind award-winning programmes including Scream Street, Strange Hill High, Clangers and Newzoids.
However it has been hit by the slowdown in the production sector as well as a change in viewing habits.
A statement from Conrad Pearson and Patrick Lannagan, of liquidators Mazars, said: “Over the last 12 months the number of projects being green-lit by broadcasters around the world has been severely cut as the global economy and audience behaviours have changed markedly; these challenging market conditions were a significant factor in the insolvency of the business."
Factory was a big North West success story and part of the thriving animation scene in Greater Manchester.
Back in 2017 it opened a new state-of-the-art studio at its Altrincham base, creating 40 jobs.
It collaborated with Simpsons’ writer and producer, Josh Weinstein, as well as The Muppets’ Jim Henson Company to develop Rebecca Green’s How To Make Friends with a Ghost.
In 2014, founder Phil Chalk revealed that turnover was £4m and was employing around 90 staff.
Its assets, including some of the Newzoids puppets, have recently been auctioned.
