Fairline Yachts in administration just weeks after sale

Fairline Yachts, a renowned British yacht manufacturer based in Oundle, Northamptonshire, has entered administration just weeks after being acquired by new investors. The insolvency proceedings were initiated by the company’s primary lender, DF Capital, which appointed Alvarez & Marsal (A&M) as administrators. The business continues to trade, with no redundancies announced so far, and efforts are underway to secure a buyer. In a statement issued to media, Michael Magnay, joint administrator to Fairline Yachts Limited, said: "The business is continuing to trade as usual. "We are thankful for the support and understanding of staff and there are no redundancies at this time. "We are actively pursuing a sale of the business and are confident of a substantial amount of interest given the recognised brand and strong heritage. We encourage interested parties to make contact with us." Read more news about Fairline Yachts Established in 1963 by Jack Newington, Fairline Yachts has long been a symbol of British boatbuilding excellence. The company also has facilities in Corby and Ipswich Marina. The administration comes less than two months after Fairline was sold by Hanover Investors to Arrowbolt Propulsion Systems, a division of Fletcher Marine Group specialising in electric propulsion technology. Hanover acquired Fairline in June 2021 via Hanover Active Equity Fund II. Arrowbolt, which acquired more than 75 per cent of Fairline’s shares and voting rights, appointed industry veteran Peter Hamlyn as the company’s new CEO. However, despite plans to realign Fairline as a “clean and sustainable marine brand,” the business has faced significant challenges, culminating in its financial collapse. In December, following the takeover, over 100 staff members were made redundant as part of cost-cutting measures. DF Capital later called in administrators to protect its interests, citing Fairline’s financial difficulties. Fairline’s accounts for 2023 revealed a turnover of £41.1m, a 15 per cent drop from £48.3m in 2022. While the company had projected improvements in 2024, citing a £100m order book and an optimistic forecast, these hopes have now been overshadowed by its financial woes. Efforts now turn to finding a buyer to secure the future of this historic brand.