ARA Distribution Acquires the Woodpend Group
The ARA Group has had a history of acquiring financially troubled companies and creating value out of them. These transactions have also resulted in a good outcome for employees and creditors of the financially troubled companies.
In financial year 2016, ARA acquired certain assets and contracts of the Adelaide based Woodpend Group. ARA hired all of the Woodpend employees and assumed all of the employee entitlements and current employment conditions. Immediately after the assets were purchased by ARA, the directors of Woodpend put the company into voluntary administration. This acquisition by ARA resulted in Woodpend’s bank and general creditors receiving meaningful payments as well as employment being preserved for all 33 Woodpend employees.
The Woodpend Group was a distributor of architectural hardware, a locksmith service company and a manufacturer of specialty timber doors, including fire doors and the Luminate product range. The manufacturing business was incorporated into ARA Manufacture, whilst the distribution and locksmith businesses have been incorporated into ARA Distribution.
This acquisition has added significant value to both the ARA Distribution Division and the ARA Manufacture Division and is already proving to be a profitable addition to the ARA Group.