Tue, 21 Mar 2023 | ADMINISTRATION
The British Honey Company (BHC), an Oxfordshire-based producer of premium British honey products, has filed notice of intention to appoint administrators. The company, which traded publicly on the Aquis exchange prior to suspending its shares, is set to appoint FRP Advisory after failing to secure long-term funding.
The company was founded in 2014 as a producer of British honey, but expanded into craft spirits, including honey infused gin. The firm now employs 80 people at a factory and warehouse in Buckinghamshire and produces brands including Two Birds and Keepr’s.
In the year to December 31 2021, the company reported revenue of £7.9 million, up from £1.5 million in the preceding nine-month period, while its gross profit increased from £916,493 to £3.2 million. Despite this, the company’s post-tax losses widened from £1.2 million to £11.8 million, with the directors’ report citing the “realignment of the management structure and the revised group strategy”, after the company underwent significant restructuring during 2021.
In October 2022, the firm announced a review to explore its strategic and financing options, including a potential sale. It subsequently secured a £750,000 loan in December to support its near-term working capital requirements while the board explored “alternative funding opportunities […] to fund the expansion and development of the business.”
However, despite the board having recognised at the time that additional funding would need to be secured in early 2023, a statement from the company said that attempts to identify funding have “proved extremely challenging, with no offer of funding support being forthcoming to date."
The statement continued: "Significant costs savings have been made in the business in order to conserve cash. Notwithstanding these cost savings, BHC will require further funding by end of March 2023, based on current management forecasts.”
“Regrettably, the board has concluded that it is required to take the necessary steps to preserve value for creditors. The board has therefore resolved to file notice of its intention to appoint administrators, with a view to appointing partners of FRP Advisory Trading Limited as administrators of BHC."
Despite this, Sky News has reported that the level of interest generated when a formal sale option was under review last year has raised hopes that the business can still be sold as a going concern.
Find out about selling a struggling business prior to insolvency.
One of the best ways to find properties below market price is to look at recent administrations.
Find businesses for sale here.
The business was established and considerably improved by the present owner more than 12 years ago and is being reluctantly sold as the owner wants to take some time out after the demands of the past few years.
LEASEHOLD
The eatery is a renowned venue which has been established for many decades. In recent years, the property has undergone substantial renovation and improvement both to the business areas and to the private self-contained three bedroom flat. Expansion...
An extremely rare opportunity to acquire a waterside Freehouse pub in one of the most sought after coastal village locations in the region. This historic and characterful Grade II Listed property is understood to have originally been constructed arou...
26
|
Apr
|
Kent-based scientific consultancy sold to US firm | BUSINESS SALE
A4P Consulting Limited, a scientific consultancy company hea...
25
|
Apr
|
Ambulance services provider acquired in pre-pack deal | BUSINESS SALE
Elite Emergency Medical Services Ltd (Elite EMS), an ambulan...
25
|
Apr
|
Tile business old to management team by Norcros | MBO/MBI
Johnson Tiles UK, a tile business based in Stoke-on-Trent, h...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
We can help you capitalise on insolvent businesses. We list UK businesses in administration, liquidation and with winding up petitions daily. Ensuring our members never miss out on an opportunity
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.