Arena TV insolvency puts asset finance sector in the spotlight

The asset finance industry looks set to come under increased scrutiny, after recent national media coverage of events surrounding the sudden collapse of outside broadcast specialist Arena Television. A range of lenders are said to be at risk of facing significant losses on the funding provided for equipment supplied by the company for coverage of a range of major sporting and entertainment events.

A report carried by Sky News claimed a number of banks had what it called ‘significant finance exposure’ to Arena TV. The company, founded in 1988 by Richard Yeowart, went into insolvency on 15 November, with the administration being handled by Kroll Advisory.

Companies House information shows that the most recent accounts filed were for the financial year ending 31 December 2019. Turnover for the twelve months was £29.63 million, up from £28.5 million the previous year, while reported earnings before interest, tax, depreciation and amortisation stood at £14.99 million. The company reported it held assets worth £58.58 million.