Chinese private equity firm ZQ Capital becomes latest suitor for Conviviality

Chinese private equity firm ZQ Capital has become the latest suitor to consider a swoop on troubled drinks firm Conviviality.

Conviviality’s future was thrown into doubt last month when it issued a profit warning, and subsequently announced it had discovered an unexpected tax bill of £30m.

Read more: Conviviality’s chief executive steps down after series of profit warnings

The drinks distributor, which owns Bargain Booze and Bibendum, then tried to raise £125m in an emergency rights issue, but was then forced to call in administrators when it failed to secure the funding.

City A.M. sources said that ZQ Capital is looking to buy Conviviality as a whole, in an approach coordinated by Bruce Casely, Conviviality’s group finance director.

Cobra owner Molson Coors and C&C Group, which owns Magners cider, also took an interest in the struggling firm, but were only like to take on Matthew Clark, a drinks delivery business which Conviviality bought in 2015. Drinks giant AB InBev and private equity firm Endless have also been named as potential suitors for the firm.