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Ripon firm Farmison begins phased re-opening today

Ripon online butcher Farmison & Co is to start selling some items again today.

The company, which was acquired from administration last month by a consortium led by ex-Asda chief executive Andy Clarke, will sell a selection of heritage breeds here.

More ranges will be brought back to the website over the weeks ahead.

The company’s Ripon shop at Bondgate Green and click-and-collect location, ‘Cut by Farmison’, will also re-open this week.

Farmison is in the process of recruiting 50 staff and re-engaging suppliers after it ceased trading on April 6 and entered administration.

Now, after a certification inspection at its Ripon headquarters, the Food Standards Agency has given the company the green light to restart operations.

It has obtained commitments from farming partners in the north of England, that they will continue to supply Farmison with the grass-fed, heritage breed meat that is at the heart of the firm’s customer promise to ‘eat better meat’.

The sustainable online meat retailer was acquired last week by a consortium led by Mr Clarke and Chilli Marketing’s Gareth Whittle, Christian Barton and Kieron Barton.

Initial ranges available to customers online include 32-day dry-aged rib steak, handmade hot dogs and Farmison & Co’s signature cut dry aged sirloin steak alongside pork, chicken and lamb.

Executive chairman Mr Clarke said:

“I want to give a massive thank you to the Farmison team who’ve acted with incredible speed to bring the business back to life – and of course to our farmers across Yorkshire and the north, who are determined to support the business get back on its feet.

“We’ve been absolutely bowled over by the messages of support from colleagues, customers and suppliers since taking ownership of the business.

“It will be some weeks yet before we have our full ranges back online, but we thank each and every one of the customers who’ve sent us those messages of encouragement and support over the past few weeks. It means the world to the whole Farmison team.”

Farmison & Co sells online directly to customers across the UK, and through wholesale channels such as Harrods, Selfridges, Fortnum & Mason and Michelin star restaurants.

Masham’s Black Sheep Brewery to enter administration

Masham’s Black Sheep Brewery has announced it is to appoint administrators.

Last month, the company, which employs about 50 staff, launched a strategic review to explore funding options to develop the business. One option was to sell the company.

However, the firm announced in a trading update on Friday it was “no longer considering the sale of the company”.

Today, in a further statement, the company has announced it is set to appoint administrators.

It said:

“On 11 April 2023, the company announced it had commenced a review of its strategic options, including the possibility of an acquisition of the company in all or in part, given constraints on its funding. On 27 April 2023, the company made a further announcement explaining that it was no longer seeking an acquisition of the entire issued share capital of the company, but it was still considering a sale of the business and assets of the company.

“The board of the company has resolved to file a notice of intention to appoint Kristian Shuttleworth and Clare Boardman of Teneo Financial Advisory Limited as administrators to the company and BSB Retail Limited.”

Black Sheep, which was founded in 1992 by Paul Theakston, said it had made the decision to “protect the interests of its creditors”.

It added that “no shares will be traded on asset match until further notice” as a result of the move.

It comes as the company appointed Teneo as its financial adviser to support its review in April.

At the time, Black Sheep said it was experiencing good sales volumes of its beers, however there remains a significant constraint on funding due to economic conditions.

Hot Seat: Bringing Ripon firm Farmison back to life

Shortly before Christmas, Andy Clarke heard rumours all was not well at Ripon firm Farmison & Co.

Having spent a career in retail, including six years as chief executive of Asda, Mr Clarke was aware of the company’s mission to ‘eat better meat’ and innovative business model, which had attracted clients including Harrods and Fortnum & Mason.

He was approached about getting involved but was busy at the time. He adds:

“The phone went quiet for a while and then there was a bit more noise about the company being in a challenging position. When it went into administration, I decided to look in more detail.”

Farmison entered administration on April 6 — Maundy Thursday. The ensuing Easter drama ended, appropriately, with a resurrection when a consortium spearheaded by Mr Clarke acquired the business from the administrators just over two weeks later.

It prompted a collective sigh of relief in Ripon, where Farmison was one of the city’s largest and most feted employers, with almost 100 staff and numerous awards.

Farmison will stay at Bondgate Green

Some former staff, who lost their jobs when administration happened, are being rehired and new ones are being sought as Farmison prepares to recommence trading within weeks.

What possessed Mr Clarke to get involved as executive chairman? He says:

“I’ve lived in Yorkshire most of my life and I’ve always been keen to support Yorkshire businesses. I’ve a strong affection for local and Yorkshire. I was chair of Leeds Bradford Airport for nearly five years.

“When I saw what I believed to be a great brand at risk of disappearing I felt I had to have a look to see if I could help. At that point I didn’t know what help was. It soon became clear I had to find a partner and invest in it.”

From then, events moved rapidly.

“It became a race to see who was going to rescue the business. In the final throw of the dice, we were given approval by the administrators who felt our bid to take forward the business and protect jobs was the strongest.”

The four-strong consortium also includes Gareth Whittle, the founder and former managing director of Chilli Marketing. But not Farmison co-founder John Pallagi, who was heavily involved in the race to save the company until the last minute. Mr Clarke says:

“We discussed with John what role he might play. We are still talking to John – there could be a role for him in future. He developed a great brand and his vision to ‘eat better meat’ is what attracted me.”

Mr Clarke says the immediate challenges are to refocus, manage the cost base and stabilise the business to bring it back to growth. No drastic changes to its business model are planned. He says:

“It’s fundamentally a good business that ran out of petrol because the cost base was too high.

“We are primarily a B to C supplier. That’s the primary purpose of the business and I would suggest that will be retained.”

Mr Clarke, who lives in East Yorkshire, says he’s had “brilliant support” from suppliers even though Farmison’s administration left some being owed money. He says:

“It’s sad that these businesses have lost out because of the previous company and the previous management team. We will develop a stronger business together.”

He reaffirmed Farmison’s commitment to its Bondgate Green site in Ripon by saying the consortium has assured the landlord it intends to stay. He says:

“It’s a great site. We are at the heart of the community.”

‘Eat better meat’ is Farmison’s strapline

Mr Clarke, who is also chair of Menzies Distribution and holds other senior roles, will divide his time at Farmison with his other business ventures.

Chief operating officer Michelle Kennedy is in charge of day-to-day operations, supported by commercial director Andy Cavanna and finance manager Liam Duggan.

“I add value through my experience but when it comes down to it it’s about the capability of the team to work together and get this business back to where it’s meant to be.”

Even with his long experience in retail, however, he says the Farmison acquisition has been “quite a journey”.

“I’ve driven the Ripon Road on more occasions than ever before. It’s been great. I’ve loved it. It’s a very exciting business to be involved in and we hope we can make it successful again for Ripon.”

Ripon firm Farmison begins hiring staff as it prepares for comeback

Ripon firm Farmison & Co has begun hiring staff as it prepares to start trading again.

Employees at the premium meat retailer were made redundant when Farmison entered administration on April 6.

But a consortium led by former Asda chief executive Andy Clarke and Chilli Marketing founder Gareth Whittle acquired the company from the administrators on Monday.

Mr Clarke, who has been appointed executive chairman, told the Stray Ferret yesterday everything was moving “very quickly” and he hoped trading would recommence in weeks rather than months.

He said the new company had so far hired five staff, who all previously worked for Farmison.

They include Michelle Kennedy, who as chief operating officer will be in charge of day-to-day operations, commercial director Andy Cavanna and finance manager Liam Duggan.

Mr Clarke said Farmison employed almost 100 people at its peak and the ambition was to get back to that number but right now he could not give a precise figure on how many roles will be created. He said:

“A recruitment drive is underway and we have started contacting some old colleagues.

“I think it was a good business that ran itself out of petrol. Basically the cost base was too high.

“Fundamentally the model was good.”

Look out for a fuller interview with Mr Clarke this weekend.

Ripon firm Farmison to trade again after buyout completed

The Ripon-based online meat retailer Farmison & Co is to re-commence trading.

A consortium led by Andy Clarke, the former chief executive of Asda, today acquired the company from administration for an undisclosed sum.

John Pallagi who co-founded the business with Lee Simmons in 2011, is not listed as a consortium member.

The consortium said in a statement:

“Over the course of the coming weeks, the consortium intends to recommence operations at Farmison’s production facility in Ripon and return the business to being an important employer in the city.

“The consortium will work with the whole leadership team to firstly stabilise the company after a difficult year and then devise and implement a growth strategy.”

It is not known how many staff will be hired but a spokesman said a “substantial” number of positions will be created.

Mr Clarke, who was chief executive officer of Leeds-based Asda from 2010-16 will become executive chairman of Farmison.

Acknowledging the vision of Mr Pallagi, he said:

“While unable to navigate the economic difficulties of the last 12 months, John’s ‘eat better meat’ mission that sits at the heart of Farmison’s business, is one we believe has significant potential for growth.

“And as a retailer brought up on a farm in Yorkshire, I know how producers across the region appreciated Farmison’s commitment to the best producers who could provide the highest quality meat to customers.

“That’s why I’m very excited about Farmison’s prospects. We have an opportunity to scale this business and further develop both its direct-to-consumer and wholesale plans, building on the ethos and values of what Farmison stands for.”

But Mr Clarke added:

“Nevertheless, there is much work to do to get the business back on its feet and trading again — not least re-engaging with Farmison’s important network of farmers across the region and re-employing colleagues”.

“In the short-term, our goal is to bring financial stability to the business, and we’re committed to re-energising Farmison’s long-term vision so it can take advantage of the growth opportunities that are undoubtedly available to it.”

In the course of the coming weeks, the consortium expects to re-open Farmison’s website.

Farmison sells online directly to customers across the UK, and through wholesale channels such as Harrods, Selfridges, Fortnum & Mason and Michelin star restaurants.

Other consortium members include former Farmison board member Gareth Whittle, founder and former managing director of Chilli Marketing.

Chilli Marketing’s Christian Barton and Kieron Barton are also involved with the consortium.

Arvindar Jit Singh, joint administrator and partner at FRP Advisory said:

“We are thrilled to have been able to secure a buyer for Farmison who is able to recommence trading and bring jobs back to Ripon.

“There had been significant interest in purchasing the business and assets of Farmison and a number of serious offers had been put forward in recent weeks, but the proposal from the consortium provides the best opportunity of both re-establishing the business and maximising returns to creditors.”

Consortium submits bid to bring back Ripon firm Farmison

A consortium led by Farmison & Co founder John Pallagi has submitted a bid to bring back the firm.

The premium online meat retailer ceased trading nine days ago and went into administration with the loss of 75 jobs.

But Mr Pallagi said he and two “high profile Yorkshire businessmen” made an offer last night to administrator FRP to buy the business and its assets.

He said the offer, if accepted, would revive Farmison and provide jobs for 50 staff.

Mr Pallagi said the consortium believed in the business model and recognised the value of the firm to Ripon. He added:

“Farmison is very important to Ripon and I am thrilled that we have attracted the interest of high profile Yorkshire businessmen with proven track records.

“It’s great that we’ve got to this point but we are not there yet.”

FRP said on Wednesday it planned to begin the sale of assets. It will now assess the bid before deciding whether to accept it.

Mr Pallagi said he hoped to have an answer by midday Monday so Farmison could operate again as quickly as possible and “create the best level of continuity possible”.

Not only have jobs been lost, but the supply chain has also been interrupted.

Last year Mr Pallagi sold the award-winning firm, whose customers include Harrods and Fortnum & Mason, to Scottish private investors Inverleith LLP.

Mr Pallagi remained as chief executive and a new three-year business plan was agreed.

FRP’s statement on Wednesday outlined the issues that brought down the award-winning company after the takeover. It said:

“The business recently underwent a fundraising process to secure external investment to support its business plan but did not secure a sufficient level of interest.

“Following a period of significant operational investment, the business has not generated the required level of revenues to sustain its high cost base.”

Ex-staff at failed Harrogate firm CNG set to receive £43,000

Former staff at CNG Group look set to receive £43,200 in claims against the failed Harrogate firm.

CNG, which employed about 145 staff, blamed spiralling wholesale gas and electricity prices for going out of business in 2021.

Administrators Interpath Advisory has published a progress report, which was uploaded on the Companies House website this week, for the period from September 2 last year to March 1.

It said staff — classed as ordinary preferential claimants — claimed £43,200 for arrears of wages up to a maximum of £800 a week, accrued holiday pay and pension benefits.

The report by joint administrators Timothy Bateson and Christopher Pole added:

“We anticipate that ordinary preferential creditors should receive a dividend of 100p in the £.”

Administrators paid £635 an hour

The report also revealed Interpath is being paid £635 an hour for handling the administration. It said:

“We have incurred time costs of £153,269. These represent 241 hours at an average rate of £635 per hour.”

Interpath’s final fee by the time administration is due to end on March 1 next year is expected to be £298,759.

Preferential creditors are expected to be paid in full, the report said, and “it is likely that the unsecured creditors will receive a dividend” although the amount is unknown.

The timing of payments is also unclear.

The report described the company’s primary assets as “inter-company debtor balances and investments in others groups”.

These are expected to generate “significant realisations” but the administrators added:

“The flow of funds between the CNG group of companies is complex and will depend on each company within the group resolving matters which are currently preventing distributions being made to the company.”

Assets to be sold at failed Ripon firm Farmison

Administrators running collapsed Ripon firm Farmison & Co said today it planned to begin the sale of assets.

FRP took charge of the company on Thursday, when it ceased trading and most staff lost their jobs.

Farmison co-founder John Pallagi held talks over the bank holiday with a consortium led by two Yorkshire businessmen about reviving the business.

But there has been no news of a deal since and FRP has now issued a statement clarifying the situation.

The statement outlined the problems that brought down the award-winning company. It said:

“The business recently underwent a fundraising process to secure external investment to support its business plan but did not secure a sufficient level of interest.

“Following a period of significant operational investment, the business has not generated the required level of revenues to sustain its high cost base.

“In recent weeks interest in the business and assets has been explored but a transaction could not be completed, and the directors have therefore placed the company into administration.”

The statement confirmed Farmison had ceased trading, adding:

“Regrettably, the majority of its 75 roles were made redundant. A skeleton staff has been retained to support the joint administrators in fulfilling their duties as they move towards an asset sale, notably the brand, goodwill and intellectual property.”

Arvindar Jit Singh, partner at FRP and joint administrator of Farmison, said:

“Farmison had made significant investment in recent years in its operations as it aimed to carve out a differentiated brand and offering in the online retail space.

“However, it proved too heavy a burden to sustain without the uplift in sales that it had expected.

“Without a major capital injection, the business could not continue trading and we must now commence an asset sale. We encourage any interested parties to come forward.

“In the meantime, we have a specialist team working with impacted staff to access support through the Redundancy Payments Service.”

Customers and creditors can contact the administrators by emailing farmison@frpadvisory.com.

‘Intense’ talks to save Ripon firm Farmison after buyout collapses

Intense negotiations are taking place over the bank holiday weekend to save one of Ripon’s largest employers .

Premium meat retailer Farmison & Co ceased trading on Thursday and entered administration. Most of the 92 staff were made redundant.

All items on the company’s website are currently listed as ‘out of stock’.

Farmison co-founder John Pallagi told the Stray Ferret he was talking to a consortium led by two Yorkshire businessmen about a management buyout.

It comes after buyout talks with another online butcher, Tom Hixson of Smithfield, fell through.

Mr Pallagi said:

“I hope to have some news by the end of the long weekend.

“Farmison isn’t trading at the moment but I haven’t given up hope. We are an amazing business and this is a great opportunity.

“We have half a million people on our database and an established UK brand that has won many awards. There’s every reason to keep this company alive.”

Mr Pallagi said last night he had been engaged in 48 hours of exhausting talks with the potential new owners after administrators FRP took control of the company on Maundy Thursday.

He said the firm had serviced all orders that had been placed and a “small working team” remained on site to deal with any unresolved issues.

Last year Mr Pallagi sold Farmison, whose customers include Harrods and Fortnum & Mason, to Scottish private investors Inverleith LLP.

He remained as chief executive and a new three-year business plan was agreed. But when the plan faltered he approached Ripon and Skipton Conservative MP Julian Smith and Prime Minister Rishi Sunak for help.

Mr Pallagi said:

“I’m a fighter. I’ve been in this business for 21 years and I’m confident we can turn around this wrong turn that we’ve taken.”

Mr Pallagi started Farmison to work with local farmers and encourage people to ‘eat better meat’.

Despite sales doubling to £12m in 2021, the company then made a loss of £2.6m.

Paperchase in Harrogate to close tomorrow

Paperchase in Harrogate will close tomorrow after the company went into administration last month.

The cards, gifts and stationery company has been holding a closing down sale since administrators Begbies Traynor took control of the business.

The James Street shop has already sealed off half of the unit as stocks run low. It is running a 70% off sale and selling some cards for as little as 10p.

Tesco bought the rights to the cards, gifts and stationery brand, entitling it to sell Paperchase items in its supermarkets, but did not buy the stores.

The move affected 106 Paperchase shops and more than 800 staff nationally. All stores are due to cease trading by Monday.

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Administrators paid £635 an hour

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