“The affairs, business and property of Hobby Products International Europe Limited are being managed by Eddie Williams and Nick Wood, appointed as Joint Administrators on 14 January 2016.”
“In administration is when a person, ‘the administrator’, is appointed to manage a company’s affairs, business and property for the benefit of the creditors.”
Just over 2 weeks ago, news arrived that “HPI INC. will give the exclusive European distribution rights for HPI and HB products to Neidhart SA in Switzerland” [See Story]
To those unfamiliar, Neidhart S.A. owns the Team Orion brand/company and is owned and operated by Philippe Neidhart – founder of Team Orion. Neidhart SA activities include RC product distribution, import, export & marketing – already distributors of the HB/Hotbodies brand since 2015 in Europe.
We believe HPI Europe has been willingly placed into administration in order to protect it’s assets and interests from Neidhart S.A. i.e. essentially stalling and preventing any asset transfer.
One can quite easily deduce that HPI Europe’s future business existence would come into question – losing out on such a critical income stream.
In a leaked email to distributors on 18 January, Neidhart SA’s sales team informed them, “Due to some unclear facts, we request you to place your orders for HPI products to HPI Europe in the UK, like usual.”
Suggesting or even confirming that HPI INC. have been unsuccessful (thus far) in transferring EU distribution of HPI to Neidhart SA…
Watch this space.
We contacted the administrators who sent us the following statement on 21st January 2016:
Hobby Products International Europe Limited (HPi EU)
Statement from Eddie Williams of Grant Thornton, joint administrator:
Following my appointment as joint administrator to Hobby Products International Europe Limited (HPI EU) on the 14th January, we are undertaking an urgent review of the financial position of the business, which has included discussions with customers, suppliers, other members of the HPI group and other key stakeholders. Those discussions have been constructive and are ongoing to date and I am hopeful will lead to a positive outcome.
I can confirm that the HPI EU staff are continuing to work, distributors are continuing to order their products from HPI EU and HPI EU continues to develop and push forward our brand and products. I can confirm that HPI EU staff will be attending at the Nuremberg Toy Fair with an exciting range of new products to present.
HPI EU appears to be a well respected and historically profitable business selling high quality products to its worldwide customer base. We are working hard to secure its future.