PracticeConsultingGT retains staff at Devon Desserts

GT retains staff at Devon Desserts

Administrators for cash-strapped Devon Desserts and BG Foods have said there are no plans at present to cut staff numbers at the frozen yoghurts and desserts manufacturers.

Duncan Swift and Simon Morris, both partners in Grant Thornton’s Recovery & Reorganisation Services, were appointed administrative receivers at the request of the company earlier this week, after the group ran into liquidity problems.

Smith said in a statement: ‘At this time we are not contemplating redundancies and we hope that none will be made.’

The administrators said they intended to continue to trade the business ?normally? with the support of customers and employees with the view to achieving a going concern sale of the business.

Devon Desserts and BG Foods, which trades under the Devon Desserts label, have factories in Brunel Rd, Newton Abbot in Devon and employ 400 people. They supply chilled and frozen food to the UK’s retail and food service sectors.

Last year the company had turnover of over Pounds 40m. In March, chief executive Michael Cole said demand levels were so high the group aimed to double turnover within the next five years as well as grow staff numbers by between 15 and 20%.

But this year, the group suffered ‘severe competitive pressure’, which disrupted its growth plans resulting in trading losses resulting in the group running out of working capital.

Links

Grant Thornton online

Related Articles

5 tips for SMEs to protect cash flow

Accounting Software 5 tips for SMEs to protect cash flow

5m Alia Shoaib, Reporter
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

11m Stephanie Wix, Writer
Managing partner Q&A - the year ahead: Richard Toone, CVR Global

Accounting Firms Managing partner Q&A - the year ahead: Richard Toone, CVR Global

12m Kevin Reed, Writer
Deloitte 'self-imposes exile' on government contracts to defuse PM row

Accounting Firms Deloitte 'self-imposes exile' on government contracts to defuse PM row

12m Kevin Reed, Writer
Managing partner Q&A - the year ahead: Julie Adams, Menzies

Accounting Firms Managing partner Q&A - the year ahead: Julie Adams, Menzies

12m Kevin Reed, Writer
Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

Business Regulation Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

1y Kevin Reed, Writer
Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

Audit Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

1y Kevin Reed, Writer
New head of equity capital markets for KPMG

Accounting Firms New head of equity capital markets for KPMG

1y Stephanie Wix, Writer