Creditors of NFT Distribution Operations have contacted Motor Transport, criticising the way its business and assets were sold and unhappy that it could take months before unpaid invoices are settled.
PricewaterhouseCoopers (PwC) has confirmed that it was appointed administrator of the company, which is headquartered in Alfreton, Derbyshire and had a workforce of 2,231 staff.
PwC said that on 31 January the majority of NFT’s business and assets were sold to EV Cargo Logistics in a pre-packaged deal following the appointment of administrators.
The sale involved the transfer of an element of the secured debt from NFT to the purchaser.
It said this safeguarded 1,980 jobs and “ensured a seamless transition of the business and services for its associated customers”.
Rob Moran, PwC restructuring M&A partner, said: “The sale of the majority of the business to EV Cargo Logistics puts the ongoing business on a stronger financial footing. It also safeguards around 2,000 jobs.”
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It is understood that NFT continues to operate its Tilbury site under the control of the administrators.
However, some companies said they had been left in the dark about when they would be paid.
In a letter to creditors seen by Motor Transport, EV Cargo Logistics said it was only prepared to settle amounts owed “in equal monthly installments”, provided that a contract remained in place.
One anonymous creditor queried why he hadn’t been kept informed of developments: “It frustrates me, but it won’t make or break the business and no jobs will be lost. But it is the principle of it.”
Sole trader David Lynne said he was only owed £500 for backloads, but he was struggling to speak to anyone at EV Cargo Logistics.
Records show that applications for standard national operators’ licences in the name of EV Cargo Logistics in the Welsh, West of England, North West of England and East of England traffic areas are all under consideration.
