Zolfo Cooper Partners, Simon Appell, Alastair Beveridge and Anne O’Keefe, were appointed Joint Administrators of Peverel Ltd, Peverel Group Ltd, Aztec Opco Developments Ltd and Aztec Acquisitions Ltd on 14th March. The four are holding companies within the Peverel Group, which is billed as the leading property management company in the UK residential sector, managing around 190,000 properties and employing around 4,000 staff.
According to a statement on Peverel’s website the operating companies of the Peverel Group will not be affected and the services provided to residents, tenant, landlords and customers will continue to be provided as normal.
Zolfo Cooper say that they are looking to achieve a sale as soon as possible in order to ‘protect its stakeholders and also the value of the organisation’. Surely the 190,000 or so tenants need more ‘protection’ than the stakeholders do?
It is reported that Peverel were in talks with Bank of America over the company’s debts, a massive £125 million, prior to the administration.
Simon Appell, Partner, Zolfo Cooper said:
“Whilst the business itself was profitable at an operating level, the level of debt in the holdings companies was unsustainable. The administrations of the holding companies were therefore unavoidable. However, the operating companies are unaffected and will continue to trade as normal.
The appointment provides a secure platform for what is a strong and attractive core business from which the Administrators are confident a successful outcome will be achieved.
The business will continue to trade as usual whilst we seek a buyer for it.
We would like to thank staff for their continued professionalism and dedication during this difficult period.”
What effect do you think this is likely to have on obtaining leasehold information when it comes to a sale?
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