Watkins Drinks Limited (11278378): administration
- Status
- In administration
- Administration began
- 2025-06-17
- Administrators
- James Richard Clark, Howard Smith
- Administrators' firm
- Interpath Advisory
- Incorporated
- 2018-03-27
- Location
- Leeds
- Industry
- 11070 Manufacture of soft drinks; production of mineral waters and other bottled waters
Why it went into administration
- Funding withdrawn / unable to refinance
- Creditor pressure / legal action
- Cash flow / liquidity pressure
- Sustained trading losses
From the administrators' statement
During Q1 FY25, the Directors’ latest financial forecasts indicated that the Company would require an additional equity injection during Q3 FY25 to fund working capital during a period where it was launching a new product line and to fund ongoing trading losses. This financial forecast indicated a total funding requirement of £2.2m to bridge to Q4 FY27, whereby the business was forecast to achieve a break-even position.
During Q1 FY25, despite prior assurances from one key investor that funding would be provided, this was not forthcoming. Subsequently, the Company’s two major shareholders advised that they did not have appetite to provide funding and therefore the Directors needed to seek equity from a new investor.
The Directors tried to obtain the required new equity investment through the remainder
Administrators' statement of proposals (2025-07-31) · Companies House register