Joules to call in admins as business confidence hits 13-year low – Business Live | business

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Joules shares suspended

Trading in Joules shares was suspended at the company’s request, “until further clarification of the company’s financial position,” it said London Stock Exchange.

Joules shares are down 93% this year, from around 140p in January to 9p at the end of last week.

Joule share price
Joule share price Photo: Joule

jobs at risk

Over 1,000 jobs are at risk at Joules and the Garden Trading Company as they prepare to appoint administrators.

The company is also asking for its shares to be suspended.

Sky news Reports:

Joules Group, which has about 1,700 employees, said it had filed a letter of intent to appoint administrators and had requested that trading in the company’s shares be suspended.

Introduction: Joules intends to appoint administrators after bailout talks collapse

Good morning and welcome to our ongoing coverage of companies, the financial markets and the global economy.

Struggling high street retailer joules has decided to call in the administrators, becoming the latest UK company to be hit by the cost of living crisis.

The coats and wellies retailer is on the brink of collapse after failing to raise new funds.

Joules told the city this morning that it would file a letter of intent to make the appointment Interpath Advisory Limited as Administrator of the Company “as soon as possible”.

It explains:

“The Board is taking this action to protect the interests of its creditors”

garden tradeJoules’ furniture and accessories business, will also file for bankruptcy.

joules has suffered from milder weather this year as well as the cost of living crisis, both of which weighed on sales last month.

It issued a profit warning in August, blaming the summer heatwave for the slump in sales of clothing like jackets, knitwear and wellies.

Last week, Joules announced it was in talks with its founder Tom Joule about a potential cash injection following those poor sales. It had also hoped to arrange a bridge loan to keep operations running while refinancing talks were held.

But today it says:

….Discussions with various parties were unsuccessful and have now ended.

The crisis at Joules follows the collapse of the online furniture retailer Made.com last week, resulting in 320 layoffs and making customers worried about their orders.

Online mattress retailer Eve sleep also applied for administration before being bailed out by rival Bensons for Beds.

And there are more warning signs across the economy today, with UK business confidence falling to a 13-year low, according to data from Accenture and S&P Global.

Businesses are cutting back on their investment plans as rising inflation creates difficult economic conditions.

Simon Eaves, Market Unit Lead for Accenture in Great Britain and Ireland, said:

“As we head towards what is likely to be a tough winter for the UK economy, business confidence has understandably been shaken. However, many UK companies continue to show resilience in the face of economic difficulties.

Recruitment plans remain positive and general optimism, while muted, is higher than that of many of our European peers.

The agenda

  • 10am GMT: Euro-Zone Industrial Production for September

  • 10am GMT: ECB Executive Board member Fabio Panetta addresses a conference on measuring the output gap in the euro zone

  • Noon GMT: India’s inflation rate for October

  • 15:15 GMT: Finance Committee Hearing on Crypto Asset Industry

  • 16:00 GMT: US consumer inflation expectations for October



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