Freight.co International Limited (‘International’), Freight.co Rapid Despatch Limited (‘Rapid’) and Crate.co Limited (‘Crate’) (together ‘the Group’) - All in Provisional Liquidation
Blair Nimmo and Geoff Jacobs of KPMG LLP were appointed as Joint Provisional Liquidators of Freight.co International Limited, Freight.co Rapid Despatch Limited and Crate.co Limited on Monday 24 June.
Although the current group companies were established in 1990, 1993 and 1984, the FreightCo group has traded since 1978 via other entities. The Group operated a logistics services business, primarily within the oil and gas sector, from its headquarters in Dyce, Aberdeen and ancillary offices in Glasgow. The Group had 24 employees.
In recent years, the Group has suffered from challenging trading conditions in the oil and gas sector. Reduced turnover and margins, combined with longer payment terms from customers, left the company with a significant funding shortfall.
The directors had been in discussions with a number of parties to purchase the business, however, it was not possible to complete a sale and due to increasing creditor pressure, the directors felt they had no option other than to appoint provisional liquidators.
Upon appointment, the Joint Provisional Liquidators required to make 19 of the company’s 24 employees redundant with immediate effect.
Five employees have been retained to assist the Joint Provisional Liquidators to realise the Group’s assets and collate the books and records. The Joint Provisional Liquidators are rapidly exploring whether an early sale of some of the business and assets can be secured.
Blair Nimmo, Global Head of Restructuring for KPMG and Joint Provisional Liquidator, said:
“Despite some recent positive signs in the oil and gas sector, the market remains challenging for SMEs in particular and our appointment today is another example of the challenges which the industry continues to face.”
“The Group is a long established business and has a wide client base which includes some global oil and gas companies.”
“We would encourage any party who has an interest in acquiring any part of the business and its assets to contact us as soon as possible.”
“We will be working with employees and have already initiated matters with relevant government agencies to ensure the full range of support is available to all those affected.”
Anyone with an interest in buying the business or assets of the company should contact Geoff Jacobs, Joint Administrator, on 01224 591000 or in writing at the address below.
37 Albyn Place
Notes to Editors:
For media queries, please contact:
Brian O’Neill, Corporate Communications Manager
T: 07823 668 689
About KPMG in the UK
KPMG LLP, a UK limited liability partnership, operates from 22 offices across the UK with approximately 16,300 partners and staff. The UK firm recorded a revenue of £2.338 billion in the year ended 30 September 2018. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. It operates in 154 countries and has 200,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.
© 2020 KPMG LLP, a UK limited liability partnership, and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
KPMG International Cooperative (“KPMG International”) is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.