The UK’s largest distributor of decorative surfaces has been put up for sale after entering administration. The company has laid off a number of its 393 employees following difficulties in securing additional funding due to a significant downturn in the property and construction sectors.
International Decorative Surfaces (IDS) was among Europe’s largest distributors of decorative surface materials. Despite boasting a stockholding exceeding 6,000 products, the company encountered insurmountable financial challenges. The firm, which had been carved out from a French multinational after a management buyout in 2022, was backed by a private equity investor and had secured a substantial asset-based lending facility.
Administrators from FRP Advisory have listed the business and its assets for sale. These assets include half a million square feet of warehousing, facilitating over 50,000 monthly transactions, and an 85-vehicle fleet capable of nationwide delivery within 24-48 hours. IDS operated out of 12 locations across the UK, including sites in Newcastle-under-Lyme, Nuneaton, Leeds, Warrington, Exeter, Fife, Gateshead, London, Ely, Norwich, and Swindon. Presently, 11 sites remain operational.
Under the leadership of its CEO, CFO, and COO, IDS announced last year that it had undergone a transformation through investments in its operational systems, product lines, and staff. However, following the departure of key executives, including the CFO and Managing Director, the company struggled to maintain its footing. Tony Buffin, former chair of Travis Perkins and Kingfisher, was appointed as chair of IDS during this tumultuous period.
At the last count, IDS employed 525 staff and reported revenues surpassing £78.7 million. Alastair Massey and Tony Wright of FRP Advisory have been appointed as joint administrators. Alastair Massey, a partner at FRP and joint administrator, remarked, “While IDS has faced significant challenges in recent months, it remains a business with considerable strengths and capabilities. We’re now focused on exploring all options to secure a future for the business, including marketing it for sale and we would encourage any parties interested in acquiring the business to make contact with us as soon as possible.”
The sale of IDS represents a crucial juncture for the company, as administrators seek to find a buyer who can leverage the firm’s substantial assets and capabilities. Potential investors are encouraged to act promptly to secure this significant opportunity.