Alfreton, Derbyshire: PriceWaterhouseCoopers (PwC), appointed administrators to NFT Distribution Operations on 31 January, stress the sale of most of the company’s business and assets to EV Cargo Logistics “puts the ongoing business on a stronger financial footing”.
EV Cargo Logistics is part of EV Cargo and NFT Distribution was also owned by EV Cargo. The deal took place immediately following the appointment of the administrators.
Rob Moran, PwC restructuring m&a partner, said: “The sale of the majority of the business to EV Cargo Logistics Limited puts the ongoing business on a stronger financial footing. It also safeguards c.2,000 jobs and is a positive outcome for the continuing business.”
Peter Dickens, PwC deals partner, said: “I would like to personally thank the NFT team for their tireless hard work in securing the future of the business and so many of their colleagues’ employment, after a period of challenging trading conditions. It is with regret that we have had to make a small number of redundancies and we are providing support to those impacted by this.”
The sale did not include the operations at NFT’s site in Tilbury which is continuing to trade with the ongoing support of key customers whilst all parties explore potential solutions.
A report in Motor Transport points out that creditors of NFT have expressed unhappiness about the way the company’s business and assets were sold and are concerned that it could take months before unpaid invoices are settled.
NFT plays an important role in Sainsbury’s supply chain, transporting frozen and chilled food and drink products for the retailer.
Accounts for NFT for the year to September 29, 2018, show it made a pre-tax loss of nearly £31m.
