CKL Realisations Limited (02808583): administration
- Status
- Administration ended
- Administration began
- 2020-04-20
- Administrators
- Mark Granville Firmin, Richard Dixon Fleming
- Administrators' firm
- Alvarez & Marsal
- Formerly
- Cath Kidston Limited; Janmay Limited
- Incorporated
- 1993-04-13
- Location
- Brighton
- Industry
- 47789 Other retail sale of new goods in specialised stores (not commercial art galleries and opticians)
Why it went into administration
- Funding withdrawn / unable to refinance
- COVID-19
- Cash flow / liquidity pressure
- HMRC / tax arrears
- Sustained trading losses
From the administrators' statement
The Company was established in 1993, with the opening of its first store in West London selling vintage fabric, the Company has a long standing brand with global recognition, with ranges including bags, accessories, fashion and homeware. The Company holds the group's intellectual property and operates 62 retail stores in the UK alongside a wholesale and ecommerce / online business, employing 941 people in the UK
The Company was acquired by BPEA Private Equity Asia V Holding (18) Limited (“BPEA’) in July 2014, at a time when the business generated £118.4m turnover and profit before interest tax, depreciation and amortisation (an accouting profit measure commonly referred to as “EBITDA’) of £11.7m. The increasing operational costs combined with a general slow down in the UK retail sector in recent years has led to the business making losses of £28.8m in the past 21 months.
The recent outbreak of COVID-19 has led to an unprecedented reduction in sales and the Government enforced closure of all the UK retail stores. Whilst Government incentives have been introduced to seek to support businesses, these were insufficient to bridge the Company’s imminent funding requirement.
Administrators' statement of proposals (2020-05-13) · Companies House register