We’re pleased to have supported the future of aerospace manufacturing in the South West having organised the sale of a group of supply chain businesses out of administration.
Andrew Sheridan and Jonathan Dunn, Partner and Director in our Restructuring Advisory team, were appointed Joint Administrators of AVPE Investments Ltd, and of Avon Valley Precision Engineering Limited and Redcliffe Precision Limited. Headquartered in Bitton, Bristol, AVPE Investments Ltd acted as parent company to aerospace component manufacturers, Avon Valley Precision Engineering, and Redcliffe Precision and to AVPE Durham, an engineering business with a broader sector focus.
The group, which counted high profile aerospace brands including Airbus, Megellan, FigeacAero and SAC in China, among its client base, had experienced a 60 per cent reduction in its order book as a direct result of the pandemic.
On appointment, the Joint Administrators completed the pre-pack sales of the business and assets of Avon Valley Precision Engineering, based in Bitton, and Redcliffe Precision based in Bristol, to Broadway Engineering Ltd. The acquisition by the precision machine components manufacturer, which operates as part of the supply chain for Rolls Royce, retains 75 roles across the two businesses. The Joint Administrators also completed the pre-pack sale of the shares of North East subsidiary AVPE Durham to Altec Engineering Ltd. The deal, a solvent transaction, saw the specialist CNC manufacturer and all 51 roles come back under the ownership of Altec Engineering, which had previously sold the business.
Restructuring Advisory Partner Andrew Sheridan said: “Against the backdrop of the pandemic, this represents an important moment for the commercial aerospace cluster in Bristol and the South West. Almost every business across the supply chain in the commercial aviation space has been dramatically affected by the significant decline in commercial flights so we’re extremely pleased to have been able to preserve each and every role across the group. While uncertainty will continue to impact businesses in the region, it’s clear that there is significant appetite to protect and consolidate activity with a view to the South West’s aviation and aerospace industry coming back stronger in the future.”