Arthur Holgate and SON Limited (00298792): administration
- Status
- Administration ended
- Administration began
- 2012-02-01
- Administrators
- John Charles Reid, William Kenneth Dawson
- Administrators' firm
- Deloitte
- Incorporated
- 1935-03-26
- Location
- London
- Industry
- 55300 Recreational vehicle parks, trailer parks and camping grounds
Why it went into administration
- Funding withdrawn / unable to refinance
- Rising interest rates
From the administrators' statement
The Company secured new tending from the Bank in July 2005 by granting security over its trading caravan and holiday parks at Brandedleys, Mount Pleasant and Silver Ridge
We understand that during 2007 the Company had entered into various interest rate hedge agreements, in addition to its existing banking facilities, to protect its risk against future interest movement The interest hedge products were also subject to various breakage costs For the year ended the 31 October 2007 the Company incurred operating losses of cE02m_ At this stage, the Company was also in breach of its banking covenants although the Bank had agreed to a repayment holiday until April 2009
With the business continuing to incur losses and with the uncertainty over the Company's ability to continue as a going concern, KPMG were instructed to carry out an independent business review (IBR”), the first of which commenced in July 2008 During the IBR review phase it 1s understood that, in order that the Bank continued to support the business, the Company would be required to put one of the three parks up for sale As a result, the Mount Pleasant Park was put on the market tn October 2008 and subsequently sold in September 2009 It was envisaged that the disposal proceeds would be utilised to repay existing Bank debt and, at the same stage, the directors would explore alternative banking arrangements However, it is understood that the directors were unsuccessful in these negotiations
Administrators' statement of proposals (2012-03-28) · Companies House register