August 14, 2009
Endless concludes sale of business and assets of Cosalt Holiday Homes Limited
Endless has concluded the sale of the remaining lodge home division of Cosalt Holiday Homes Limited to an MBO team led by Production Director Martin Hadfield and Director of Sales and Support, James Garland.
Endless acquired the business in October 2008 following a period of significant trading losses which had already resulted in the commencement of a redundancy consultation process. The investment strategy was to continue the orderly wind down of the Caravans manufacturing business based at Stoneferry Road in Hull, while seeking to preserve the formerly profitable “Custom Homes” Lodge division at Stockholm Road, also in Hull, as a viable trading business.
Since acquisition Endless has completed the wind down of the Caravans division and subsequently sold the Stoneferry Road site and plant and machinery to a start up business, Victory Leisure Homes. Victory has since re-commenced trading on the site and is in the process of growing its order book, which will benefit the Hull area through the preservation of jobs and continuing support of the supply chain.
The sale of the Lodges business based at Stockholm Road to the MBO team will result in the manufacture of holiday homes continuing under the Cosalt Custom Homes brand and the protection of further jobs and activity levels in the Hull region.
The transactions are the result of Endless working closely with management over the last few months in particular Executive Chairman Colin McAusland and Finance Director Martin Short to protect and maximise the value of CHH’s key assets. This has resulted in excess of £10 million being recovered and paid to the employees and trade creditors over the last few months, considerably in excess of the value anticipated had CHH gone through an insolvency process in October 2008 instead of being acquired by Endless.
The Endless team was led by Mat Deering with support from Ian Plumb and Lucia Villamor. Legal advice was provided to Endless and CHH by Addleshaw Goddard and Wilkin Chapman.