JR & AL Smith Limited (06764645): administration
- Status
- Administration ended
- Administration began
- 2023-06-20
- Administrators
- Jason Paul Maloney, Gary Paul Shankland
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2008-12-03
- Location
- London
- Industry
- 47730 Dispensing chemist in specialised stores
Why it went into administration
- Cash flow / liquidity pressure
From the administrators' statement
This report should be read in conjunction with our SIP 16 Statement (“SIP 16”), attached at Appendix 4. The SIP 16 provides creditors with a comprehensive account of the circumstances giving rise to the Company being placed into Administration and the matters that were considered for pursuing a pre-packaged administration sale of the business and assets of the Company.
As referred to in the SIP 16, given the cashflow difficulties faced by the Company, the Company was unable to make payments to it suppliers for medicines and the trading performance of the Company deteriorated as a result. Given the financial position of the Company, and without any additional external funding, Mr Sangar took the decision that the Company could not continue trading in the long-term and on 16 March 2023, instructed independent agents, Christie & Co (“Christie”), who have a specialism in pharmacy sales, to act on his behalf to seek a buyer for the pharmacy.
After a period of marketing, one offer was received with negotiations with the interested party commencing in early April 2023, leading to an offer on 1 June 2023. Further details surrounding the sale are provided in the SIP 16.
Administrators' statement of proposals (2023-07-21) · Companies House register