Concord Holdings Limited (00074416): administration
- Status
- Administration ended
- Administration began
- 2014-07-07
- Administrators
- Daniel James Mark Smith, William Kenneth Dawson
- Administrators' firm
- Deloitte
- Formerly
- The Concordia Electric Wire and Cable Company Limited; The Concordia Electric Wire Company Limited
- Incorporated
- 1902-07-23
- Location
- Cardiff
- Industry
- 70100 Activities of head offices
Why it went into administration
- Sustained trading losses
- Funding withdrawn / unable to refinance
- Creditor pressure / legal action
From the administrators' statement
Whilst Heatsense was profitable, on a Group basis trading conditions were poor in the first half of 2013, resulting in a monthly trading loss_ In an attempt to recover the position of the Group, management recruited a new sales and marketing director for Concordia in September 2013, to start in January 2014
At the same time, the Group had a foreign exchange facility with the Bank through which it was committed to buy USD 600k a month until December 2015 This enabled the Group to protect its downside exchange rate risk at £1 / USD1 5525 in the event the spot rate fell below this evel In the event that the spot rate exceeded £1 / USD1 6120 at any point in the month then the Group under the facility was required to buy a further USD 300k on the last day of the month at a rate of £1 / USD1 5525 which resulted in an exchange rate loss to the Group If the Group had bought dollars during the month, it must also buy an extra USD900k at the month end
If the spot rate stays within the range of £1 / USD1 5525 — 1 68 throughout the month, the Group was under no obligation to trade and may purchase as many dollars as it required during the month at the prevailing spot rate
Administrators' statement of proposals (2014-08-22) · Companies House register