Airsprung, in Trowbridge, filed a Notice of Intention to appoint administrators on April 22, with directors working with ‘key stakeholders on options to preserve the company’
A UK bed and upholstery company is teetering on the edge of administration following the “financial challenges” it has encountered over recent years. Airsprung, based in Trowbridge, has released an internal notice on April 22 stating it was collaborating with “key stakeholders on options to preserve the company.”
Airsprung Group plc and Airsprung Furniture Ltd announced they have submitted a Notice of Intention to appoint administrators (NOI). A notice of intention to appoint administrators indicates that a business intends to bring in administrators if it fails to resolve its financial troubles, reports the Express.
The mechanism is designed to offer short-term “breathing space” to examine alternatives and implement remedial measures. Airsprung has not yet entered administration, reports Wiltshire Times.
The news outlet reports the internal notice reading: “As you may be aware the company has been facing financial challenges because of difficult trading conditions over a sustained period alongside a significant pension scheme deficit. In recent times, the company has been exploring all its options.
“However, the business faces a short-term liquidity issue and as such the Directors have filed for a notice of intention to appoint administrators for Airsprung Group plc and Airsprung Furniture Limited.
“The Directors are working with key stakeholders on options to preserve the Company.
“While these options are being progressed, the filing of a NOI provides the directors and the business some breathing space to see these options through.”
Airsprung Group PLC revealed the directors of Airsprung Group plc and Airsprung Furniture Limited have taken the “difficult decision” to file a notice of intention to appoint administrators.
They informed the publication: “There have been significant pressures faced in the sector, all of which have impacted Airsprung’s trading performance and have affected the cashflow position of the company.
“The directors are working with key stakeholders on options to preserve the company. While these options are being progressed, the filing of an NOI provides the directors and the business some breathing space to see these options through.
“We will not be able to provide live updates on this process.”
The firm confirmed its employees will receive payment on April 24 and April 28.