Plasmatrack Limited (12497536): administration
- Status
- Administration ended
- Administration began
- 2024-04-09
- Administrators
- Cameron Gunn, Ben David Woodthorpe
- Administrators' firm
- ReSolve
- Incorporated
- 2020-03-04
- Location
- London
- Industry
- 72190 Other research and experimental development on natural sciences and engineering
Why it went into administration
- Funding withdrawn / unable to refinance
- Creditor pressure / legal action
From the administrators' statement
The Legacy Management Team advised shareholders during 2023 that a trial project held in conjunction with train operating companies would take place; however, in December 2023, the Legacy Management Team confirmed the trial scheduled for November 2023 at Nexus Rail did not proceed as intended. Completion of this trial was a key commercial milestone for the business which, had it been successful, would have allowed the Company to access a number of financing options. As it was, the Company could not undertake any new trial for several months. As such, a group representing the majority of shareholders responded by approaching David McCracken and Thomas Taylor (the Directors) and requesting that they replace the Legacy Management Team.
Upon their appointment the Directors reviewed the financial position of the Company and concluded that it would not be able to repay the facility granted by the Secured Creditors, which was due to mature in March 2024.
Following an agreement with the Secured Creditors for forbearance in respect of their security, the Directors refinanced the loan for a further twelve months to allow the business time to achieve commercial revenues; however, shortly after the agreement was reached, the Company was served with a Notice of Insolvency Proceedings form from a major creditor, in respect of an unpaid debt which the Company was not in a position to discharge. The creditor intended to proceed to file a winding-up petition which would have forced the Company into Liquidation.
Administrators' statement of proposals (2024-04-26) · Companies House register