Jacques Vert owner calls in administrator
Jacques Vert filed for Administration in June 2017 – as the above graph shows, Company Watch had highlighted the downward trend in financial health over the years. Following the Administration, the Jacques Vert brands and stores were acquired by Calvetron Style Holdings (now Calvetron Brands) which also owns the Dash and Vertex brands employing around 1000 staff in the UK and 400 in Canada & Ireland. Calvetron Brands, which is now about to go into Administration itself, has not filed any financials that reflect the acquisitions and reorganisations. The latest financials are from February 2017 and report only the pre-acquisition skeleton assets of £39k.
This once again shows the fragility of the pre-pack system for creditors where the core business being rescued is fundamentally weak. Filing requirements in the UK mean that it could be as much as 21 months before there is any need to reveal how the turnaround is performing. Creditors new and old have to rely on assurances from the new owners, without having any tangible financial evidence to demonstrate improved performance.
In the context of retail sector under increasingly high levels of strain we would urge all our clients to analyse their portfolios to identify companies which might be vulnerable to a similar fate. Please don’t hesitate to contact us if you would like any assistance.