Mazars appointed to foods group administration

Mid-market professional services firm Mazars has been appointed for the administration of Thomas Tucker and RJ Foods. The snack manufacturer had suffered a dramatic decline in the fallout of a mass product recall earlier in the year.

Founded in Nottingham in 1988, over the following three decades Thomas Tucker expanded to a significant market position in the snacks segment of the food and drink market in Britain. Specialising in popcorn and confectionary, the business’ brands included Tommy Tucker, Thomas Tucker, Family Bakery and Krax. In 2015 RJ Foods family bakery was acquired by the company, offering a further portfolio of baked goods.

Both Thomas Tucker and RJ Foods have now collapsed into administration, however, following a tumultuous period in the history of the firms. While the underlying cause for their downfall remains disputed, the group was stung earlier in 2019 by a voluntary product recall, amid an on-going investigation with the Food Standards Agency (FSA).

The recall covered more than 60 brands, including Alton Towers Sweet Popcorn and Big Night In Cinema Sweet Popcorn. The scale of this process is understood to have resulted in significant losses and pressure on working capital, which left the company with insufficient funds to bridge a shortfall identified following the FSA review.

Mazars professionals Adam Harris, Michael Pallott, Patrick Lannagan and Scott Bevan have subsequently been appointed to oversee the administration of Thomas Tucker and RJ Foods. While the companies will continue to trade during this process, 64 jobs have already been lost as a result of the news. Fifty-two staff have been retained to assist the administrators, and continue to run the company as they seek a buyer.

Joint administrator Adam Harris stated, "The business has had a difficult year and had undergone an operational restructure and further investment by its owners… Sadly the administrators have, as a result of the financial position, made a number of the staff redundant. Nevertheless, we are hopeful a sale will be achieved in light of the business's reputation for quality and its dedicated workforce. A going concern sale would secure the best outcome for the business's suppliers and customers and secure a future for the remaining employees."