Unbound Group Sells Beaconsfield Footwear Ltd.

Unbound Group announced on Tuesday that its subsidiary, Beaconsfield Footwear Ltd., has been sold to Buckminster Hamilton Ltd. for a total of £6.7 million in cash. The sale took place after Beaconsfield Footwear was put under administration.

While the transaction does not benefit shareholders, as Buckminster Hamilton has a net bank debt of £9.7 million, Unbound Group stated that it no longer holds its main trading business and has no operating revenue. The group currently has minimal cash balances and known creditors of approximately £900,000.

Although the board believes that certain investments held by the company are likely to have a value exceeding their due amounts, the realization of these assets may take time. Additionally, there is uncertainty regarding the company’s ability to pay its debts in a timely manner.

Due to the uncertainty surrounding Unbound Group’s debt payment capability, Unbound shares were suspended on Monday. In a separate move, the directors of Beaconsfield Footwear filed a notice of intention to appoint administrators to avoid trading insolvently. This decision was made after no offers were received during the formal sale process, and talks for an equity fund raise ceased.