Business Sale reports that Adelie Foods, one of Britain’s biggest suppliers of sandwiches and food-to-go, has appointed administrators as the coronavirus pandemic continues to impact the food sector.
The company had been in rescue talks for several weeks, but a potential acquisition by an unnamed company couldn’t gain the necessary support from watchdogs in time, Business Sale relays, citing insiders. It has now appointed Deloitte to undertake an insolvency process, with employees having been informed of the development on May 26, Business Sale discloses.
It has been reported that Deloitte is assessing whether it will be able to produce a deal to save Adelie from administration, Business Sale states. The company is reported to have been in talks over a deal with listed food supplier Greencore, while Samworth could be another contender, Business Sale notes.
In its latest available accounts, to the year ending September 30 2018, Adelie Foods registered an EBITDA loss of GBP2.96 million, according to Business Sale.
Adelie, which is headquartered near Heathrow, employs over 2,000 staff, a large amount of whom have been placed on furlough since March due to the coronavirus pandemic. The company’s clients include coffee chains such as Caffe Nero and supermarkets including Lidl.