ADL subsidiary in administration

ADL’s Australian subsidiary, Custom Coaches, has been placed into voluntary administration. The move was made as a result of ‘deteriorating trading conditions and a significant reduction in demand for route buses in the Australian market’, according to a statement from the manufacturer. During this administration period, ADL will continue to work with the administrator to explore opportunities to continue trading in the Australian market. Since the acquisition of Custom Coaches in 2012 there has been a significant contraction in the Australian bus market, according to ADL. The company has been supporting the loss making Custom Coaches for the last two years and it claims it is unlikely that market conditions will improve markedly in the near future to return the business to profitability.

An ADL statement said, ‘Whilst as a Company we are genuinely saddened to be taking this step, we continue to invest in new product development, underpin our market-leading UK position and build market presence in new territories including Malaysia and Singapore. The ADL Group continues to be in robust financial health with a strong balance sheet and will continue to focus on key business priorities.


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