Cruise firm plunges into administration

TRAVEL: CMV, which sailed from Dundee, collapses with all bookings cancelled and UK staff facing the axe

A cruise firm which sailed from Dundee has entered administration after coronavirus impacted its ability to operate.

South Quay Travel & Leisure Limited, which traded as Cruise & Maritime Voyages (CMV), started the liquidation procedure on Monday night.

All bookings have been cancelled. The Essex-based company employs 4,000 people with sales offices in Australia, France, Germany and the US.

The Courier publisher DC Thomson had partnered with the firm for planned Best of Norway and Scottish Isles cruises.

These bookings are covered by UK travel trade association ABTA, which gives customers protection when a travel company goes out of business.

The administrators said the action was “likely to result in the redundancy of the UK employees”.

Paul Williams, joint administrator at Duff & Phelps, stated: “Unfortunately, despite the collective very best efforts and being very close to securing the long-term finance needed, CMV was unable to conclude the funding within the timescales required which has led to the administration of the business.”

The company, which formed 10 years ago and had a fleet of six ships, had previously been forced to suspend all its sailings from March 13 till August 25, resulting in the cancellation of 50,000 holidays.

In a statement, CMV chief executive Christian Verhounig apologised to “loyal and hardworking” staff and travel trade partners, thanking them for their support.

He said: “The directors have all worked tirelessly with CMV’s financial advisers, investment bankers, lawyers and numerous private equity and hedge fund investors to try and secure the funding required to enable CMV to weather the storm.

“Only last year, CMV was celebrating a record trading year and our first decade in cruising, but the CMV journey has tragically been cut short by this unprecedented global pandemic.”

The inaugural DC Thomson Travel cruise venture on the ship Magellan had initially been due to depart this summer. It was then rescheduled to 2021.

The Magellan has been a regular visitor to Dundee since 2015.

Craig Houston, head of enterprise at DC Thomson Media, said: “The challenges being faced by the travel industry are worrying and I’m saddened to hear the news of Cruise & Maritime Voyages entering administration.

“We have worked closely with the team at Cruise & Maritime Voyages to offer DC Thomson Travel customers exciting destinations with a quality cruise partner. It’s disappointing to know our customers won’t be able to enjoy what would have been a brilliant travel experience.”

Anyone who has made a booking should refer to the ABTA website at abta.com/failures

“Only last year, CMV was celebrating a record trading year and our first decade in cruising, but the CMV journey has tragically been cut short by this global pandemic. CHRISTIAN VERHOUNIG, CMV CHIEF EXECUTIVE

The CMV cruise ship Magellan has been a regular visitor to Dundee in recent years.