Canterbury Foods calls in PwC as administrators
Frozen food supplier appoints PwC as administrator after refinancing bid fails
AIM-listed frozen food and burger producer Canterbury Foods was forced into
administration yesterday after its bankers refused the group’s refinancing
plans.
Ian Green and Steve Ellis from PricewaterhouseCoopers were appointed as
administrators and immediately announced the sale of Canterbury’s manufacturing
sites in the Isle of Sheppey, Whitstable and Bridgend to management buy-out
vehicle Medway Foods.
Joint administrator Ian Green said the business was unable to avoid
administration after attempting to restructure with the sale of its meat
products division to Tranfield Foods Limited just two days before Christmas.
‘The company has been suffering cashflow difficulties for some months, and
its management had been attempting to reduce external debt and restructure the
business to preserve its ongoing viability,’ said Green. ‘Unfortunately, despite
the recent sale of the company’s meat products division, it was not possible to
complete a restructuring.’
He added that the sale of the manufacturing sites provided a ‘seamless
transfer of ownership’ and would protect customers and 200 jobs.
‘I now hope to be able to realise promptly the remaining assets of the group,
including the cooked meat products business located at Yate, near Bristol,’ said
Green.
Canterbury has suffered because of increasing meat prices and campaigns to
make school dinners healthier.