Bankrupt Vailo founder Aaron Hickmann touts potential United States move

In an exclusive interview, bankrupt Vailo founder Aaron Hickmann speaks out about the Adelaide 500 sponsorship, Donald Trump and a potential big move for his embattled firm.

• Vailo in liquidation as huge debts revealed

Bankrupt Vailo founder Aaron Hickmann is touting a United States buyout and relocation of the embattled company, which has been plunged into liquidation, and accusing the Liberals of weaponising its Adelaide 500 sponsorship.

In an exclusive interview, Mr Hickmann said his personal finances were not threatened despite “chewing on glass while you’re staring into the abyss” and – wearing a Rolex worth $65,000 he said was inherited – insisted “there is no life of luxury”.

Mr Hickmann said money was still owed to the state government from the now-concluded three-year, multimillion-dollar Adelaide 500 sponsorship but vowed there would be “no loss to the South Australian people” and that only “a very small percentage” was outstanding.

Bankrupt Vailo founder Aaron Hickmann speaking with Advertiser journalist Paul Starick in Adelaide. Picture: Brett Hartwig.

“I think that it has been weaponised by Liberals … supporting the Adelaide 500, which was a political event, has weaponised Vailo sponsorship to it,” he said

Asked if he promised payments in full to lighting manufacturer Vailo’s creditors, owed close to $5m, and almost 50 employees chasing more than $700,000 in unpaid entitlements, Mr Hickmann said: “Yes, that’s part of the restructuring plan.”

Bankrupt Vailo founder Aaron Hickmann in Adelaide. Picture: Brett Hartwig.

In a letter to Vailo customers, creditors and partners on Wednesday, Mr Hickmann said he was “leading a rescue finance package” and was considering shifting the firm to the US, declaring this was the headquarters of “the group holding company LSTX”.

“There’s private equity opportunities coming out of the United States. There’s also merger opportunities out of Europe, but with Donald Trump in play in the United States, Vailo as a manufacturing company could move there to a state like Texas,“ he told The Advertiser on Thursday afternoon.

“I’m very passionate about Texas and I am a supporter of Trump and his policies around manufacturing.”

Asked if money was tied up in the holding company rather than Vailo, Mr Hickmann said the US firm had been established more than a year ago as part of a structure “put in place in partnership with the rescuing creditors and banks” and there was “no money owing to that entity, per se” and “the US entity is doing fine”.

Asked if he and his family were doing okay financially and whether he was “a Christopher Skase” (bankrupt entrepreneur who moved overseas), Mr Hickmann said: “Are we doing okay? We have a roof over our heads and we’re enjoying family time.”

Asked if he was living a life of luxury on the Gold Coast, Mr Hickmann said: “Not at all.” Picture: Brett Hartwig.

Asked if he was living a life of luxury on the Gold Coast, Mr Hickmann said: “Not at all. We’ve got one car. Everything’s been put into the business. … There is no life of luxury. There is a life of persistence and hard work and passion that goes into a company, which is like a child.

“And when that child’s dying, it’s incredibly stressful and it’s incredibly tormentful that it could die. And if it dies, it’s a fish and chip wrapper tomorrow, right?

“But if you’ve got an ability to save it and to rescue it, then you continue on chewing glass while you’re staring into the abyss.”

Asked if he had assets squirrelled away beyond the reach of receivers and liquidators, Mr Hickmann replied: “No, of course not.”

Mr Hickmann said he believed “people think I’m aligned with the Labor Party and (Premier Peter) Malinauskas” but insisted Vailo had “not received any government handout or any government grant from either side of politics or either government”.

Responding to Mr Hickmann’s claims, Opposition Leader Vincent Tarzia demanded Mr Malinauskas “be upfront and honest with South Australians about how much is owed to the taxpayer, both financial and in-kind from this former (Adelaide 500) sponsor”.

Mr Malinauskas on May 1 said talks were continuing on recovering outstanding money and contra support from Vailo.

Originally published as Bankrupt Vailo founder Aaron Hickmann touts potential United States move