The administrator at cabinet manufacturer Woodberry Brothers & Haines (WBH), PricewaterhouseCoopers (PwC), has revealed that it has recovered the majority of monies owed to creditors, with the company to be dissolved.
Within its final progress report, for the period 25 May 2016 to 27 June 2016, PwC stated that its largest secured creditor, Lloyds Bank, was owed just over £6m, while the bank’s commercial finance division was owed over £1m. Total distributions to the bank stood at £5.3m, representing a recovery rate of 88.46%, while 100% of commercial finance was achieved.
This was largely due to the sale of WBH’s 500,000sq ft factory for £5.7m by property management company GVA. Administrators also appointed ES Group to market and sell the company’s plant & machinery, which generated proceeds of £577,271.
ES were instructed to sell remaining finished goods stock – after as many customer orders as possible were fulfilled – with the stock being sold to a single purchaser for £130,750 before deduction costs.
WBH, owner of the Caxton brand, also had a preferential creditor bill of £129,231, mainly owed to employees, which was recovered in full, while having an outstanding debt in excess of £666,000 to HMRC.
The company was close to being saved from one unnamed interested party who lodged a bid to buy the assets. However, due to a major customer cancelling its contract, the interested party withdrew its offer.
Matthew Hammond and Ross Connock, of PwC, were appointed as administrators on 2 July 2014 and have now confirmed its conclusion of the administration process by filing a notice of dissolution on 1 July 2016.