Sit­u­a­tion wors­ens for Stan­ley Gib­bons

Yorkshire Post - Business - - FRONT PAGE -

COL­LECT­ING: Losses at Stan­ley Gib­bons widened last year as the stamp and coin spe­cial­ist’s fi­nan­cial sit­u­a­tion con­tin­ued to de­te­ri­o­rate.

The com­pany posted an £8.8m trad­ing loss in the year to March, more than dou­ble the £3.9m in 2016.

Rev­enue also slumped, from £59.1m to £42.5m.

LOSSES AT Stan­ley Gib­bons widened last year as the stamp and coin spe­cial­ist’s fi­nan­cial sit­u­a­tion de­te­ri­o­rated.

The com­pany posted an £8.8m trad­ing loss in the year to March, more than dou­ble the £3.9m in 2016. On a pre-tax ba­sis, losses rose from £27.9m to £30.2m.

Rev­enue also slumped, from £59.1m to £42.5m as Stan­ley Gib­bons con­firmed that it was in de­fault on its loans.

The firm said it is now “de­pen­dent on the bank’s on­go­ing sup­port”.

The group has been stung by a slow­down in the stamps and col­lecta­bles mar­ket, par­tic­u­larly in its rare coins busi­ness AH Bald­win, and ham­pered by a string of failed his­toric ac­qui­si­tions.

It is now try­ing to off­load non­core as­sets in an ef­fort to raise cash.

Chair­man Harry Wil­son said: “There can be no guar­an­tee that the bank will pro­vide fa­cil­i­ties be­yond May 31, 2018 and the com­pany is likely to re­quire ac­cess to fur­ther liq­uid­ity in the in­ter­ven­ing pe­riod.”

He added: “The com­pany re­mains in con­struc­tive dis­cus­sions with the bank, re­gard­ing its short-term liq­uid­ity re­quire­ments, and the terms of such fund­ing in such form as it may be­come avail­able.”

How­ever, he said that the board has “rea­son­able grounds” to be­lieve that al­ter­na­tive fi­nance will be avail­able via fur­ther as­set dis­pos­als or from an “al­ter­na­tive fi­nance provider” should the com­pany’s lenders de­cide to pull the plug.

Ear­lier this year, Stan­ley Gib­bons put it­self up for sale as part of a re­view be­ing led by FinnCap.

Pri­vate eq­uity firm Dis­rup­tive Cap­i­tal was thought to be in­ter­ested in buy­ing the com­pany, but has since de­nied this.

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