AE Chilled’s future and all 62 jobs have been secured following its acquisition in a pre-pack administration deal by Big Transport Kent after significant financial challenges. This strategic acquisition safeguarded the company’s operations.
- AE Chilled, facing financial difficulties after the collapse of UK Salads, its largest customer, has been acquired by Big Transport Kent.
- The successful bid by Big Transport Kent preserves jobs and stabilises the company’s liquidity challenges.
- The acquisition was crucial after AE Chilled’s financial crisis, following the loss of key contracts.
- The pre-pack sale is also beneficial for AE Chilled’s creditors, providing a better outcome than alternative options.
In a significant turn of events for AE Chilled, a temperature-controlled distribution firm, the company has been acquired by Big Transport Kent in a pre-pack administration deal designed to rescue its operations and safeguard employment for all 62 staff members. This move was necessitated by the substantial financial strain the firm experienced following the administration of its largest customer, UK Salads, earlier this year. AE Chilled had expanded its fleet in anticipation of growth projected by UK Salads, which later collapsed, causing a profound impact on the company’s liquidity and revenue streams.
Despite attempts by AE Chilled’s directors to inject funds and sustain the business, the efforts were insufficient when further compounded by the loss of another significant EU contract in June. Unable to compete with competitive European rates, AE Chilled found itself with an oversized fleet it could not reduce. After consulting with Begbies Traynor, a pre-pack sale was identified as the most viable solution.
Big Transport Kent emerged as the successful bidder, sharing two directors, Aaron Oliver and Kevin Sands, with the backing of Peter Waddell, founder of Big Motoring World. The acquisition cost was disclosed at £100,000. In a statement, AE Chilled’s directors expressed optimism about the company’s future, emphasising Mr Waddell’s support as a cornerstone for future growth and service diversification.
The pre-pack deal not only salvages AE Chilled’s workforce but is also anticipated to deliver better outcomes for creditors than other alternatives. Aaron Oliver highlighted the dedication of the staff during challenging times and assured that the current workforce would continue under the new ownership. The commitment to maintaining high service standards remains a top priority as the firm transitions under Big Transport Kent’s management.
This acquisition marks a new chapter for AE Chilled, securing its future operations and workforce under challenging circumstances.
