Andrew Sheridan and Raj Mittal, Partners at specialist business advisory firm, FRP have been appointed as joint administrators of Arena Coventry Limited (ACL), Arena Coventry (2006) Limited and IEC Experience Limited.
Upon appointment the Joint Administrators immediately completed the sale of the businesses, including ownership of the Coventry Building Society Arena, to certain entities controlled by Frasers Group Plc.
Joint Administrator Andrew Sheridan said: “This is a pleasing outcome, which helps secure up to 1,000 jobs in Coventry and ensures that the venue will continue to play a major role in the city’s economy as a world-class entertainment and hospitality venue and home for Coventry City Football Club.”
“By agreeing to sign an exclusivity agreement before the 1st November, Frasers Group was the only interested party that was able to meet the terms of the sale process. This was essential in providing the necessary funding that enabled the Arena to continue trading beyond that date. Without this, and the collaborative and supportive approach taken by all key stakeholders throughout the process as well as the tireless efforts of the core management team, the Arena would have been forced to close on 2nd November resulting in hundreds of job losses and a materially worse outcome for creditors. We wish Frasers Group and all involved in the Arena every success for the future.”
A spokesperson for Frasers Group said: "We are delighted with the acquisition of the CBS Arena which will complement the Group’s existing portfolio of brands and investments. Through the acquisition, we are pleased to have been able to secure a long term future for the Arena, protecting jobs and supporting the local community. In particular, we are looking forward to working with Coventry City Football Club."
This investment demonstrates Frasers Group’s belief in the West Midlands as a key economic region and will create many mutual synergies that are aligned with the business’ elevation strategy and the Group’s potential development plans in the wider area. Frasers Group will continue to engage with local stakeholders at the site to ensure stability and continuity.
A spokesperson for the Coventry Building Society Arena said “We are delighted that Frasers Group have acquired the arena. This will see the doors of this flagship venue remain open and continue to play a strategic part in the City of Coventry’s economic tourism plan. It is a great result for everyone who uses the venue for business, sport, and music as we now can continue with what we do best and that’s providing hospitality at is best.
“We would like to thank all of our staff, suppliers and tenants who have worked so hard to ensure that it has been ‘business as normal’ during the past weeks. Our thanks also go to our key stakeholders, Coventry City Football Club, Delaware North UK, Coventry City Council and Coventry Building Society, for their ongoing support and collaboration.”
FRP was advised by Burges Salmon LLP during the process.