Ernest Hillier Chocolates goes into voluntary administration

Alan Walker and Glenn Livingstone have been appointed as Voluntary Administrators to Chocolate & Confectionery Company and its related entity that owns and manufactures Ernest Hillier Chocolates, one of Australia’s oldest chocolate brands.

Following rising raw materials and shipping costs which significantly impacted the companies’ margins, voluntary administrators were appointed. The business’s distribution network spans Australia and New Zealand, with existing arrangements with supermarket chains Woolworths, Coles and Aldi. It also produced white-label chocolates for some of the world’s largest confectionery providers from its facility in Coburg, Melbourne.

The administrators are seeking expressions of interest from parties that could recapitalise or acquire the business and its assets.

Alan Walker, WLP Restructuring Partner, said the administrators are working with all stakeholders to save the brand and moving with urgency to understand the business affairs and find a suitable buyer or investor.

In undertaking this process, the administrators made the decision to cease manufacturing activity and stand down employees.

“The company operates a significant manufacturing facility in Coburg, and the Ernest Hillier and Newman’s brands have featured on the shelves of Australia’s supermarkets for many years. We expect these supply agreements, alongside its relationships with large multinational food and beverage providers, may appeal to potential suitors,” Walker said.

The first statutory meeting of creditors will be held on 30 June 2023.

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