Adelie, one of the UK’s biggest sandwich makers and food-to-go suppliers, has called in administrators after weeks of rescue talks.
More than 2,000 jobs are at risk. A large portion of employees have been furloughed since March under the government’s job retention scheme.
Deloitte has been appointed to handle an insolvency process, said to be assessing if it can save the company from administration by arranging a rescue deal. Listed food supplier, Greencore and another market player, Samworth, are said to be in talks about potential deals to save Adelie.
This comes amid the coronavirus outbreak, creating stiff challenges for the British food-to-go market to recover from. All restaurants, coffee shops and non-essential retailers have been forced to close since March, following government measures.
Adelie supply coffee shop chains such as Caffe Nero and supermarkets including Aldi. It has been owned by Intermediate Capital Group since 2016, after loosing key contracts with Asda and J Sainsbury.
Further update to follow.
Categories: What is administration