Certainly one of Britain’s largest tile suppliers is getting ready to administration amid a wider downturn within the sector.
Sky Information has learnt that CTD Tiles filed a discover of intention to nominate directors on Monday as advisers scramble to line up a purchaser.
Sources mentioned Interpath Advisory was overseeing a sale course of that might result in a pre-pack administration later this month.
The identification of the possible patrons was unclear on Monday.
CTD, which was acquired by former Physique Store proprietor Aurelius in 2022, provides ceramic tiles to business and resident prospects.
Primarily based in Newcastle, it trades from 87 shops and employs about 400 individuals.
Insiders mentioned that CTD’s revenues had been anticipated to droop by about 30% this yr – from £113m in 2023 – reflecting the decline being skilled elsewhere within the business.
CTD’s consumer base is principally made up of enormous housebuilders, lots of which have been buffeted by macroeconomic headwinds whilst the brand new Labour authorities pledges to jumpstart a housebuilding growth throughout the nation.
Different gamers within the tile sector, together with Tile Large, Tile Selection and Johnson Tiles, have additionally skilled monetary and buying and selling difficulties.
One supply mentioned that CTD had managed to resist the pressures going through it for longer than rivals as a result of its proprietor had supplied extra monetary assist to alleviate liquidity shortfalls.
Discussions are mentioned to have taken place between Aurelius and key stakeholders in current months.
Aurelius declined to remark.
