Citylounge Ventures Limited (07218028): administration
- Status
- Administration ended
- Administration began
- 2019-10-18
- Administrators
- Andrew Watling, Carl Stuart Jackson
- Administrators' firm
- Quantuma
- Incorporated
- 2010-04-09
- Location
- Southampton
- Industry
- 82990 Other business support service activities n.e.c.
Why it went into administration
- Funding withdrawn / unable to refinance
- Creditor pressure / legal action
- Sustained trading losses
From the administrators' statement
3.1
3.2
As previously advised the Company had been loss making and had instructed Cavendish Corporate Finance LLP to assist with the process of marketing the business with a view to selling it as a going concern. Quantuma LLP were instructed on 12 August 2019 to provide advice on any offers received, on the treatment of Member prepayments, which were not previously ring-fenced and to oversee trading, due to the insolvent position of the Company. Over the course of this process, several interested parties emerged, 4 of which made offers. Two of these offers required the business and assets of the Company to be sold by an Administrator, due to the overwhelming debts and increasing pressure being received from creditors. Another offer was not in a format that was identified as being capable of being transacted without an insolvency process. The fourth offer was an offer from a shareholder to purchase the shares of other shareholders in exchange for the writing off of any shareholder loans. Quantuma LLP recommended to the Board that this offer be recommended for consideration by the shareholders, which the Board did, but one of the shareholders issued a winding-up petition against the Company …
Administrators' statement of proposals (2019-12-16) · Companies House register