Following weeks of turmoil at the business, it was announced on the evening of Friday 27th October 2023 that Safestyle UK are to appoint administrators. They confirmed that they have not been able to find a buyer for the business or new investors to inject cash.
The share price of the business has been plummeting in response to negative trading updates during the Autumn, and the writing on the wall appeared at the start of the month when they announced that they were looking for new investors to inject cash into the business.
This was the statement that they released last night:
Safestyle UK plc (AIM: SFE.) announces that following its announcement of 26 October 2023 (the “26 October Announcement”), the interested parties that were, at that time, involved in the Proposed Sale process as defined in that announcement, have withdrawn their respective interests.
Therefore, the Board of the main trading subsidiary of the Group, H.P.A.S. Limited (“HPAS”) and other intermediate holding companies in the Group, namely Style Group Holdings Limited and Style Group UK Limited, has concluded that they are no longer able to continue trading as a going concern.
Consequently, the Board has filed notice of intention to appoint administrators to HPAS, Style Group Holdings Limited and Style Group UK Limited in Court today.
Unless financial circumstances change, and in accordance with statutory requirements, the board of these three companies intends to appoint administrators within 10 business days.
Further announcements will be made as and when appropriate.
You can read the original statement here: https://otp.investis.com/clients/uk/safestyle/rns/regulatory-story.aspx?newsid=1729717&cid=656
There is also a text message reportedly from the CEO confirming to staff that the company is to be put into administration, and also confirming that there is going to be a Teams call on Monday at 2pm, where more information will likely become available. There is already criticism of the method of communication informing staff of the intention to appoint administrators.
In time there will be a post mortem of how the largest installer of windows and doors went from a valuation of £250m to nothing in the space of six years. But for now, the immediate concern for staff is whether they will be paid for the work they have done. Homeowners will be concerned about deposits paid, work to be done and work to be finished. Suppliers will be wondering if they are going to get paid and what is going to happen to existing stock.
More news on this story will be published as it becomes available.
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