Wed, 18 Dec 2024 | BUSINESS SALE
Logistics group DP World has bought records distributor Utopia Distribution Services out of administration.
Utopia Distribution Services appointed Mark Supperstone and Ben Woodthorpe of Evelyn Partners as joint administrators on 13 December.
Immediately following the appointment, a sale of the business and assets was completed to supply chain solutions provider DP World Logistics UK Limited.
According to Evelyn Partners, UDS operates out of a 25,000 square metre, state-of-the-art facility in Bicester UK. The warehouse ships more than 30 million units, including CDs, DVDs, and vinyl annually and distributes more than 60 per cent of the UK’s physical entertainment products for a number of high-profile record labels and retailers.
Several assets were acquired in the transaction, including IT systems, and it is expected that all UDS employees will transfer to DP World via TUPE. The transaction follows bankruptcy proceedings being initiated against UDS’ Swiss parent, Proper Group AG (formerly Utopia Music AG) in September this year.
Supperstone said: “It is unfortunate to see a business such as UDS that benefits from high-quality facilities and prominent clients in the music industry encounter these difficulties. However, we are encouraged that the business is expected to operate as usual following the sale to DP World, with all jobs saved.”
A DP World spokesperson added: “We are pleased to confirm that we are taking on responsibility for full day-to-day operation of our distribution centre at Bicester, following our recent purchase of the business and assets of Utopia Distribution Services out of administration. We look forward to working closely with our entertainment partners in this expanded role.”
DP World said the UDS facility had been open for more than a year and was proving to be an “outstanding success” supplying physical music and home entertainment to the growing UK market.
Indeed, the sale of vinyl records continues to grow partly as a result of nostalgia amongst older music lovers, but also because of younger people wanting a ‘physical’ alternative to streaming.
“Our reliable and competitive service, which includes state-of-the-art technology across the centre, enables our customers to distribute to the whole of the UK from a single site. DP World is committed to playing its part in ensuring the continued success and growth of the physical music and home entertainment sectors in the UK,” DP World said.
Find out more about insolvency fears in the UK
The business is strategically located in the central belt of Scotland, offering easy access to motorways and transport links. This allows us to efficiently cover 80% of the populated areas in the central belt, providing convenience to both staff and...
Essex based well-established international wholesale and distribution business offering amazing reputation, and regular commercial client base. An outstanding specialist acquisition for expanding catering supplies solutions provider.
This is a well-established timber merchant with excellent reputation, and offering immeasurable expansion potential.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.