Aaron Hickmann’s embattled Vailo placed into liquidation

Vailo founder Aaron Hickmann’s embattled company has been placed into liquidation – but he insists it’s not lights out for the once-soaring business. Find out why.

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• ATO chases nine-figure tax debt

Embattled businessman Aaron Hickmann’s Vailo has been placed into liquidation amid a battle for control of assets.

Liquidator Robert Hutson of KordaMentha is seeking debts owed to parties including the National Australia Bank, and separately a Supreme Court order to wind up the company has been made with liquidator Robert Ferguson from Ferguson Hannam appointed.

However, Mr Hickmann – who said in a letter to customers and creditors he had placed the company into voluntary administration – told The Advertiser he was confident the company could be rescued.

“The directors and shareholders have put forward a rescue plan which we are doing through our own administrator,” he said

“The shareholders resolved to go into voluntary administration and appoint a liquidator with a rescue plan.”

The state government body behind the Adelaide 500 Supercars event emerged as one of the creditors of failed lighting company Vailo. Picture Supplied

Aaron Hickmann and his wife Maxine Hickmann

Mr Hickmann hopes to achieve a Deed of Company Arrangement through the voluntary administration process regardless of the wind up order.

The Advertiser previously reported the Australian Taxation Office lodged a “proof of claim” seeking almost $135m from Mr Hickmann’s estate.

Mr Hickmann denied the ATO had made such a claim and said it was of “such a ridiculous amount, it is not even feasible”.

Documents lodged with the Australian Securities and Investments Commission show a conga line of claimants owed money, from contractors and subcontractors to government and sporting bodies to the ATO, as well as employees owed wages, long service leave and superannuation.

One listed is Mr Hickmann, owed $185,241.

Mr Hickmann, pictured in 2024, told The Advertiser he is confident the company can be rescued. Picture: Ben Clark

The documents show the value of inventory, assets and the debts to the National Australia Bank are still being investigated.

In a letter to “customers, creditors, partners and supporters” dated May 21 announcing the move into voluntary administration the Vailo founder said it was made with “great determination of a positive outcome through this process.”

Blaming issues including a lack of “patriotic support to local manufacturers”, he indicated Vailo may move to the United States where the group’s holding company LSTX is headquartered.

The letter says “manufacturing in Australia is one of the hardest endeavours in this country.

“Soaring costs in energy, interest rates, rents, slow construction time frames and wages, meant we needed to take a different approach, a sustainable one to secure our base costs to be globally competitive.

“Unfortunately, multiple projects in our own backyard were awarded to imported competitor products, as opposed to a locally made one by VAILO.

“Without patriotic support towards local manufacturers, the theme is common; to relocate to a market that does support.”

Mr Hickmann writes that a shift to the US would enable a restructure and further investment in advanced manufacturing.

“The assistance from both US Federal and state governments is unparalleled compared to Australia to support manufacturing right now,” he writes.

“As the world enters a new era with tariffs, I am reviewing the viability of VAILO’s Australian manufacturing. Several joint venture and merger opportunities are being discussed to ensure ongoing manufacturing in Australia.”

Originally published as Aaron Hickmann’s embattled Vailo placed into liquidation