One of Australia’s biggest trucking companies has gone bust, leaving up to 1500 jobs at risk.
Scott’s Refrigerated Logistics entered administration on Monday and is now in receivership.
The firm provides refrigerated trucks and warehouses for businesses including supermarket giants Coles, IGA and Aldi.
Scott’s was reportedly bought by private equity firm Anchorage Capital Partners in June 2020 for about $75 million.
KordaMentha has been appointed as receivers and is now looking for a “new long-term owner”.
“We anticipate a high level of interest in this business and its assets, given its significance in the cold chain supply system in Australia,” KordaMentha partner Scott Langdon said.
“We are seeking support from all customers to give the business the best chance of being sold to a new long-term owner.”
The company may have been affected by supply chain shortages in Australia and across the world following the Covid pandemic.
The war in Ukraine has also caused fuel prices to spike.
The company will continue to deliver food to supermarkets for the time being.
Coles said it would work to minimise any affect Scott’s’ collapse may have on shoppers.
“We’re aware of the challenges being faced by one of our transport providers, and we are working hard to provide support and minimise the impact this might have on our customers and product suppliers,” a supermarket spokesman said.
Scott’s has more than 500 trucks and 1000 trailers on Australia’s roads, and has 24 warehouses across Australia.
The company claims that its vehicles travel more than 500,000km a day.
