Letter (see below) sent by Chima Maduabuchukwa, sole director of APW Asset Management, to clients of APW Asset Managment undated but investdrinks understands it was sent out in mid-December. Maduabuchukwa announces that Quantuma LLP in Marlow will take day to day control. No record at Companies House for the the moment that the company is either in administration or liquidation.
45-year-old Chima Maduabuchukwa was appointed director of APW on 16th July 2014. He is based the Bahamas at F-40393, Regent Centre Suite 1A, Explorers WA, Freeport, Grand Bahama, Bahamas.
The Drinks Business has an excellent report on the current situation at APW Asset Management Ltd. See here.
See also Tony Hetherington – Mail on Sunday on 10th January 2015 on 75% loss on a £5000 wine deal.
More to add.
From: Chima Maduabuchukwa
'Dear Sir/Madam,
Following the successful introduction of
the finest Australian wines to the UK market over a decade ago, APW has always
endeavored to offer wines focused predominantly on high quality and low
production, both for distribution and bedding down for potential capital growth
along with a high standard service match.
Our vision has always been to service our
customers as effectively and efficiently as possible. We will be the first to
admit that this has not always been achieved, especially over the last few
years with the global recession affecting market conditions and in turn the
level of customer satisfaction we aimed to provide.
Starting with an initial 5-year plan to
achieve a high number of sales. This was achieved successfully and continued
for several more years. We envisaged the collective purchase of wines would
place our customers in an ideal position to reach a wider audience in the secondary
market. Thus, allowing our customers to exit the wine market profitably and trouble-free.
In 2008
the global recession affected businesses from all sectors globally. The wine market
was no exception. Within the fine wine sector the more speculative new world wines
were some of the hardest hit, and although we had always expected prices to
return as the market works in cycles, this has not been the case. Due to the
strains of the recession, the demand for secondary market sales has far
exceeded our projections by several multiples and has put a considerable strain
on our resources and our ability to once again deliver at the level we had
hoped.
Under the tenacious stewardship of my
predecessor, APW sort new avenues in order to meet the high customer demands
for secondary market sales and have been able to achieve reasonable success
through trade affiliates in China and through UK auction houses as well as
online auction and retail sites.
Unbeknownst to most our customers, at the
height of the recession, our founder and premier supplier based in Australia
passed away unexpectedly, forcing a reorganisation of the business. In order to
move forward, APW had to reconcile orders and consider an alternative direction
into 1st Cru Bordeaux and Super Tuscan wines. Another unexpected occurrence was
the closure of the Colonial Estate vineyard, which APW had heavily invested
with. This meant we were in short supply
of a vintage allocation that was already secured to APW. It also had a huge
effect on the development of our secondary market where the funds were diverted
from expanding our trade options to replace a consignment of wines that we
hadn't receive.
Due to these constraints APW has been in
talks with a major wine investment and asset management consortium looking to
add Australian new world wines to their portfolio. APW has been in discussions
for several months with and are pleased to inform you that the imminent
acquisition of our client base will hopefully be announced in the New Year. This
is good news for those customers looking for more secondary market presence and
further reaching trade affiliates, as this is exactly what will be available
once acquisition is concluded.
In the mean time, it is with a heavy heart
that we inform you that we will no longer be advising and managing your day to
day and will be passing all management of APW affairs to Quantuma LLP of 81
Station Road, Marlow, Bucks, SL7 INS.
APW views this as a necessary step towards
safeguarding all our customers' positions and assets held under our management.
It is also in many ways a progressive step towards hopefully finally delivering
our initial vision of a full circle one-stop-shop service to trading the
world's finest wines, ensuring all elements are optimised for diversification.
Yours Sincerely,
C. Maduabuchukwu Director
