Jobs saved as administrators secure sale of historic equestrian manufacturer
The sale of an historic equestrian manufacturer out of administration has saved 65 jobs.
Chris Lewis and Diana Frangou of RSM UK Restructuring Advisory were appointed by Vale Brothers on October 18.
Headquartered in Walsall, the company manufactures products for the equestrian industry, including brushes, whips, saddles, bridles and horse rugs supplied to a large number of customers across the globe.
The company had experienced a fall in demand following consolidation within the industry, as well as increased costs that it was unable to substantially reduce. This led to cash pressures and unfortunately creditor arrears, resulting in the directors taking the decision to seek a sale.
The sale was to a company controlled by Baaj Capital, who provide private debt and equity capital, and hands-on support to situational investments to the SME and mid-markets, a non-connected party, and will maintain UK manufacturing at the company’s two main sites in Walsall and Cardigan, Wales, helping to mitigate the impact of the administration on the company’s stakeholders.
Chris Lewis, restructuring advisory director at RSM, said: “We are delighted to secure the sale of the Vale Brothers business in a short timeframe, following a marketing process that generated substantial interest. The restructuring has protected a significant number of jobs and improves the return to the Company’s creditors. We would like to wish the purchaser the very best taking the business forward.”
Jas Singh, CEO of Baaj Capital, said: “The acquisition of Vale Brothers marks a move forward in the widening of Baaj’s interests in both manufacturing and online marketing. We are confident that the Vale Brothers team can go from strength to strength, with new efficiencies and added funding. We are delighted with the professionalism of the team at RSM in concluding this transaction quickly and thus saving a UK heritage brand and many skilled jobs.”
