Despite various rescue deals being discussed over the last few months, Palmer and Harvey plc (P&H), the UK's largest delivered wholesaler, has fallen into administration.
Headquartered in Hove, East Sussex, P&H was the 5th largest private company in the UK with 3,400 employees, servicing 90,000 stores across multiples, convenience, forecourt and CTN sectors, including Tesco and the Costcutter.
There have been 2,500 immediate redundancies and a further 900 jobs are still at risk.
Matthew Callaghan, joint administrator at PwC, stated, “The Palmer & Harvey name has been a trusted partner for retailers and suppliers for nearly 100 years. This is a devastating blow for everyone who has been involved in the business.
'The administration team will focus on working with employees, clients and suppliers to facilitate a smooth and effective wind-down or transfer of operations over the next few weeks.”
Callaghan added that the company had insufficient cash resources to continue to trade beyond the short-term and the directors had concluded that there was no longer any reasonable prospect of a sale.
Administrators are exploring options for a sale of several subsidiaries, however, P&H Direct Van Sales, P&H Sweetdirect, and P&H Snacksdirect have ceased to trade, but about 450 employees have been retained.