Distributor Cinram placed in administration after losing Universal contract

Mon, 14 Aug 2017 | ADMINISTRATION

Distribution and logistics firm Cinram has gone into administration after failing to land a key contract with Universal Pictures.

The Aylesbury-based firm, which has previously held contracts with Sky, Paramount Pictures and UK retailer Game, was forced to lay off 81 workers and transfer 29 more in July after the US film-maker pulled out of a key contract with the distribution firm. The contract is said to have accounted for the majority of Cinram’s work at its Buckinghamshire site.

Universal Pictures instead turned to Sony DADC UK, based in Enfield, while Cinram’s bosses had worked out what Unite union bosses described as a “good redundancy package” following “intensive negotiations”.

As part of the deal 29 Cinram employees made a TUPE - Transfer of Undertakings (Protection of Employment) Regulations - transfer to Sony DADC.

A further 81 workers accepted a redundancy package negotiated by the union, with a further 118 employees still employed by the distributor, which is still searching for a buyer for its Rabans Lane, Aylsebury site.

A statement from Mercer & Hole, the firm appointed joint administrators, stated that losing the contract at the end of June had cased Cinram to “review its trading position in light of the reduced revenue”.

It continued: "The corporate restructuring team (Steve Smith, Chris Laughton and Henry Page) at Mercer & Hole have been working with the directors to prevent the closure of the site at Aylesbury and save the jobs of those employees who remained with Cinram since the end of June. It is expected that operations will continue in administration while negotiations with potential purchasers of the business continue.”

Find a wholesale business for sale
Subscribe to Business Sale Report here.


Share this article



Latest Businesses for Sale

Extensive Range of Catering Equipment, Furnishings & Wet Stock (Fast Sale)
UK Wide

Viewing: Wednesday 27 February 2019 between 10am and 3pm. Closing From 10am Friday 1 March 2019.

Asking Price: Offers Invited
Turnover: £500k - £1m

Tyre Services
Fakenham, Norfolk, UK Wide

Tyre specialist offering commercial and agricultural tyres. Major Tyres Ltd with Hankook performance tyres. Offers invited.

Asking Price: £299,950
Turnover: £380,000

LEASEHOLD


Tyre Garage
Midhurst, West Sussex, UK Wide

Busy vehicle tyre changing business, which is in a prime trading location in Midhurst, West Sussex. The business was established by our clients in 1984. Only now is the business being offered to the market, due to our clients’ desire for a well-deser...

Asking Price: £399,995
Turnover: £336,000

FREEHOLD



View more businesses for sale

News Search

Latest News

 
21
 
Feb
 

Lakeside hotel enters administration | ADMINISTRATION

A historic but well-preserved hotel located on the banks of ...

 
19
 
Feb
 

Pharmaceutical manufacturer enters administration | ADMINISTRATION

A pharmaceutical manufacturing company based in Bristol has ...

 
16
 
Feb
 

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources