Aero Technics Aviation Limited (09309323): administration
- Status
- Administration ended
- Administration began
- 2020-07-06
- Administrators
- Philip Lewis Armstrong, Geoffrey Paul Rowley
- Administrators' firm
- FRP Advisory
- Incorporated
- 2014-11-13
- Location
- London
- Industry
- 52230 Service activities incidental to air transportation
Why it went into administration
- COVID-19
- Parent or group failure
From the administrators' statement
The recent impact of the Covid-19 pandemic had a significant and immediate impact on the Group, placing significant pressure on cash reserves. The largest effect beingthe suspension of the ATL contract by VAA with a balance outstanding of approximately £1.6m. Given the financial difficulties being faced by VAA it was made clear to management that this amount would not be paid for the foreseeable future. VAA subsequently terminated this contract with no notice on 1 July 2020.
In order to mitigate the impact on the business Management reduced the Group's cost base and agreeing payment plans with key suppliers, whilst also taking advantage of the furlough scheme and, PAYE deferment programmes. Group funds were also pooled to allow the various entities to meet costs when required. .
The Board sought a new strategic or financial partner that could support the business through the immediate Covid-19 challenges and engaged FRP Corporate Finance to commence a solvent sale process.
Administrators' statement of proposals (2020-09-18) · Companies House register