Unbound Group, the parent company of British footwear retailer Hotter Shoes, suspended trading of its shares on the London Stock Exchange and appointed administrators for its primary operating subsidiary, Beaconsfield Footwear, Ltd., after failing to find a buyer or to raise capital to restructure the business.
Regarding the London Stock Exchange, the company said it would appoint Will Wright and Rick Harrison of Interpath Advisory Limited as administrators.
The news comes five days after the company’s board of directors filed a statement that the company and its advisors “continue to explore options for the Group and its shareholders, which include a formal restructuring plan and equity raise.” The statement was in response to press speculation regarding the possible administration of the Group as one of several options that the company was considering.
On July 12, the company noted, “In the event that such discussions prove unsuccessful, it is likely that administration would occur, in which case the company’s ordinary shares would be suspended from trading on AIM.”
The Group expects that the administrators, once formally appointed, would move to sell Beaconsfield Footwear, Ltd. to a third-party purchaser as soon as possible. The company noted in the LSE statement that there could be no certainty that any such sale would proceed or the timing of a sale.
Photo courtesy Unbound Group
