A British tea company has fallen into administration after more than 120 years.
The historic drinks business Typhoon Tea filed a notice to appoint administrators on Wednesday, according to official filings.
Vapes and batteries maker Supreme has said it is in talks over a potential rescue deal to snap up Typhoo.
Founded in 1903, Typhoo has long been one of Britain’s best-known tea brands, but the decline in recent years has pushed it to the brink of going out of business.
The collapse follows several years of declining sales, mounting debts and even a break-in at its Wirral factory last year.
Insolvency specialists at Kroll have been appointed to oversee the administration process and are hoping to strike a rescue deal for the business.
It is understood the business has fewer than 100 employees.
Supreme – the London-listed vaping products and drinks manufacturer – told shareholders on Thursday that rescue talks are at “an advanced stage” but it is not certain an acquisition deal will be completed.
The move would be part of efforts by Supreme to grow its drinks and nutrition operations, as it reduces its focus on vaping ahead of a Government clampdown on disposable vapes due next year.
A spokesman for Kroll said: “As reported recently, the company has experienced significant cash flow constraints as a result of supply chain disruptions and subsequent service issues.
“The company has been exploring a sale of the business and assets which is in the process of concluding.
“The administration process provides Typhoo Tea with protection, allowing the joint administrators to finalise the sale in order to rescue the business.”
Typhoo’s latest company filings showed that it made a £38 million loss last year, while sales fell by a quarter to £25.3 million.
In August 2023, Typhoo suffered a blow when trespassers broke into the company’s former factory in Merseyside and occupied the site for several days.
Typhoo said at the time that they caused “extensive damage” and made the site “inaccessible”.
The company had been trying to sell the factory, in a deal which eventually went through in June 2024.
But Typhoo said the incident made up the bulk of £24 million of exceptional costs that year, and that it had “materially” affected its day-to-day running.