Firms swoop in for Abtec
Struggling distributor attracts a wealth of potential buyers
Up to six firms are believed to be involved in bidding for troubled distributor Abtec International, which went into administration last week.
The Stevenage-based storage distributor appointed accountancy firm Ensors as administrator (CRN, 3 October), which has put the business up for sale as a going concern.
Steven Law, business recovery partner at Ensors, told CRN: “We are still in negotiations with several parties, but there is a lot of interest. We expect to have a sale concluded by the end of the week,” he said.
Law was unable to identify any of the companies, but he confirmed that the interested parties were businesses of a “similar nature” to Abtec.
Peter Rowell, executive chairman of market watcher Regent Associates, said: “There has been a lot of consolidation in the distribution space, particularly as the sector has been offering thin margins for years.
“When a company goes into administration it is not surprising that there is interest, because other firms are looking to acquire scale.”