Babease, the UK organic baby-food firm, and Brecon Foods, which manufactures its products, have been bought out of administration by entities controlled by local investment firm Amitis Partners.

FRP Advisory, which was appointed administrator to the firms on Thursday (21 November), said in a statement they had been called in “following a period of unsustainable working capital pressures for the businesses”.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

It said that following the Amitis deal both businesses will continue to trade.

“The joint administrators facilitated a pre-pack sale of the businesses to entities controlled by Amitis Partners. The sale ensured continuity of trading for both businesses and the joint administrators wish the new owners every success in taking the businesses forward,” it said.

London-based Babease was established in 2016 by chef Tom Redwood, It uses organic vegetables to create food for young children and babies from the Brecon Foods factory in south Wales. It acquired Brecon Foods in 2016.

Last summer Babease secured GBP1m (US$1.3m at the prevailing exchange rate) in funding from Bibby Financial Services (BFS). 

It said it planned to use the money to fund the growth of the business – including expanding its range and production capability – following an “extensive period of investment” in product development.

Babease’s products are sold by major retailers, including UK big four supermarket Tesco, and online via Amazon and Ocado.

It is unclear whether founder Redwood is still involved in the business. just-food has asked new owner Amitis Partners for clarification.

A pre-pack is a deal for the sale of an insolvent company’s business and assets which is agreed in principle before the company goes into a formal insolvency process, usually administration.