Positive Clothing (London) Limited (02722136): administration
- Status
- Administration ended
- Administration began
- 2014-09-10
- Formerly
- Positive Limited; Positive Clothing (London) Limited
- Incorporated
- 1992-06-05
- Location
- Leicester
- Industry
- 46420 Wholesale of clothing and footwear
Why it went into administration
- Funding withdrawn / unable to refinance
From the administrators' statement
As a result of the foregoing, the two holders of Qualifying Floating Charges over the Company's assets were contacted with a view to consenting to the Administration Barclays Bank plc (which 1s not owed any money directly by the Company) confirmed its willingness, in principal, to providing consent However Lloyds Bank Commercial Finance Limited ("LCFL"), which provided invoice financing facilities to the Company, confirmed that it would not consent to the appointment and would, as a result, be seeking to appoint its preferred Administrators, in accordance with its own internal poltcies
It was at this time that the Directors were approached by a third party, who expressed an interest in the business and assets of the Company and the possibility of providing investment by way of debt, equity or a combination of both Unfortunately, this third party had not been in a position to conduct any due diligence and, with the imminent appointment of Administrators by LCFL, it looked increasingly unlikely that any due diligence could be carried out Notwithstanding this, the interested third party sought clarification from the Directors of the Company as to whether st would assist the Company tf the debt due to LCFL was discharged, thereby providing a short pertod of time to conduct due diligence The Directors approved this, and the debt to LCFL was discharged and replaced by Mr Matthew Miller on 8 September 2014 As outlined in paragraph 6 below, Mr Miller was paid the amount of £352,319, which comprised the return of his capital of £298,319, his legal costs of £9,000 and his loan advancement fee of £45,000 The Directors did not consider these fees to be disproportionate, bearing in mind the potential termimation charges and associated costs that may have been raised by LCFC …
Following the discharge of the LCFL debt, Mr Miller's advisors contmued to perform due diligence with a view to ascertaining 1f the Company could be rescued by way of an additional capital injection
Administrators' statement of proposals (2014-11-10) · Companies House register