Gloucester-based Domestic Appliance Distributors (D.A.D) has entered administration, with almost 40% of its workforce immediately made redundant.
Mike Denny and Michael Magnay of Alvarez & Marsal were appointed joint administrators of John Gillman & Sons (Electrical) Ltd – which trades as D.A.D – on August 26.
Thirty of the company’s 78 employees were immediately let go, with administrators confirming they are “supporting these employees through the process.”
In a statement, Alvarez & Marsal said the business would continue trading while a buyer is sought.
In its last posted results, for the year ending December 31, 2023, the company had a turnover of around £48m but showed an operating loss of about £1.5m.
In September 2023, the issued share capital of the then parent company, Araka Holdco 5 Limited, was sold by Threesixty Investments to the current sole director Alison Taylor. This resulted in “significant changes” to the business including restructuring of roles, removing costs and entering into new exclusive distribution agreements with manufacturers.:
Denny said: “The administrators are continuing to trade the business while exploring options and invite any interested parties to please get in touch.”