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(qlmbusinessnews.com via bbc.co.uk – – Wed, 4 Apr 2018) London, Uk —
It is not clear how many jobs would be saved by the deal, but Conviviality's wholesale arm employs about 1,500 people.
Magners owner C&C is set to acquire the wholesale arm of stricken firm Conviviality through a pre-pack administration.
The Irish cider company says it is in advanced discussions to acquire Conviviality brands Matthew Clark, Bibendum, Catalyst, Peppermint, Elastic, and Walker & Wodehouse.
It is understood that the wholesale arm of Conviviality would be ringfenced before being put into administration on Wednesday and bought by C&C.
AB InBev will provide additional financial support for the transaction.
Last week, Conviviality confirmed it plans to appoint administrators within the next 10 days after profit warnings and the discovery of a £30m tax bill, putting 2,600 jobs at risk.
Conviviality's shares had been suspended after the tax bill was disclosed to the stock market, leaving it with a market value of just £185m.
Stephen Glancey, C&C chief executive, said: “We know the Matthew Clark and Bibendum businesses very well.
“They are great businesses with unparalleled on-trade market access, a wide range of supplier relationships and supported by a knowledgeable and loyal employee base.
“The last few weeks have been challenging for employees, customers and suppliers alike.
“We hope today's announcement can put an end to this period of disruption and uncertainty.”
Matthew Clark is the UK's biggest independent drinks distributor and Bibendum is one of the largest wine, spirits and craft beer distributors and wholesalers.
It is not clear how many jobs would be saved by the deal but Conviviality's wholesale arm employs about 1,500 people.
Bargain Booze is not included in the deal because it is part of Conviviality's retail division, which is still up for sale.
