The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
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SO WHAT WENT WRONG?
I can tell you in Two simple words: Cheryl Calverley.
This woman seems to be more experienced at playing snooker, https://snookerscores.net/player/cheryl-calverley than being a CEO. She clearly took her eye off the basics and went for the glory.
I am no businessman, but I'm pretty sure you set the foundation first. Reach profitability THEN think of expansion. Why on earth she continued in France, beats me. With Eight million dwindling month by month, surely alarm bells must have been ringing. Surely administration could have been avoided, if action had have been taken much earlier. With Two of the best mattresses in the industry and a 'Which' recommendation she has fooked up big time.
No consideration to P.I. who were lead down the garden path with RNS which should have been more honest, much earlier.
Stxx, that is a very good point. We should contact the administrators too.
In view of the Benson purchase, we need to find out if there is going to be anything for us shareholders.
DGU, you still have a line to them? Is worth asking the question.
Jackbal, with only 278 million shares in circulation even a 200% dilution would have been better for us.
They could have shutdown France, streamline operations raise cash through dilution (worse case, but still better for everybody), cut back on staffing, cut back to core most profitable products, navigate through this current turbulence and when you get to the other side try and expand again - wasn’t this a possible scenario?
The way the whole situation developed from choosing to be loss making but will be profitable by 2022 … to breakeven by 2022 but only for UK&I with France 3 or 4 years behind … to BOOM FSP.
More or less silence through the FSP, no details given through the FSP process … then boom again … Admin & suspension. Then within hours Benson buys Eve out of Admin.
It leaves a sour taste in the mouth.
I wonder, if after the Benson buyout if there is nothing in it for us shareholders, is there a case for contacting the FCA over this?
Even an eye watering 50% dilution would have been about 50% better for holders.
When she pushed out the timelines for breakeven why didn’t she raise with holders to cover gap in finance? Not rocket science
Or a better question why weren’t holders given a chance to try and protect their investment?
All very fishy indeed
What is CC getting out of the new agreement with Bensons? (Sweet FA is deserved imo)
She should be scrutinised to make sure she hasn’t thrown holders under the bus for her own gain.
I think the entire episode is disgusting Yanis. It sort of feels are money has been legally stolen!!!
Is it possible to find out what Benson’s paid for Eve?
There could be some money left over for shareholders.
Surely when Eve called the administrators a in yesterday they would still have had enough cash left to pay all their creditors (and administrators?) - they made this a priority.
So any money paid by Benson’s should mostly come to shareholders. No?
Benson’s involvement should have been RNS’ed before yesterday. I wonder, are CC & TP will be now working for Benson’s?
DGU,. Just seen your post on Bensom buying Eve - before it was even a day old in admin - this does indeed sound fishy.
Does anybody have an explanation?
Surely, id shareholder’s interest would have been better doing a deal with Benson before admin?
... need to be overhauled if the likes of EVE can run down value ( while giving presentations such as they did) to the end of shareholders cash to virtually zero then just announced administration in the morning with Bensons buying them out in the afternoon stating they will have the business up and running in a few days so the business can reach its full potential —- what were the EVE bod doing drawing a salary this past two years then! I’m disgusted with all that has happened here!
Yeah course you were 55555!
Hindsight?
Only ribbin but you see my point?
I worked for a company that was bought out of administration by Alteri ( company backing the Bensons deal) they are absolutely awful and I'd not trust them at all. This will be back in admin by end of 2023 at the latest once they have took everything possible out of the business.
Staff at Eve you have been warned. Look for a new job ASAP
I don't think that will be made public DGU, as its a private equity firm that has bought EVE.
It might show as a separate item in their accounts but that could be a year plus away.
Obviously they got all their info from EVE through their DD and just waited for admin to come by. They would have told EVE that was their intention I imagine and "gambled" that nobody else came in.
The fact it has been sorted so quickly suggests there was absolutely no one else interested.
I went back and forth in my mind as to why a buyer would want to bid and own EVE as a PLC rather than wait for admin and I just thought the odds were always in favour of this outcome.
Regimental - it appears EVE now set up to thrive under Bensons - they plan to have EVE website as a stand alone business up and running in a day or so and also plan to develop the digital sleep idea too - meanwhile shareholders get nothing — this is scandalous
https://www.retailgazette.co.uk/blog/2022/10/bensons-for-bed-eve-sleep/
... what Price EVE was sold to Bensons for?
YEP
Evening troops absolutely gutted seeing the post I’ve put over 25k in and can’t believe it and what’s worse I’m in way more on RRX3 and that’s been hammered too didn’t CIN world go like this but still trades or is it all gone
Very smart move by Benson, exactly what Boohoo were doing before. No one in the right mind would bid on the open market when they can smell so much fear and desparation
Spot on stxx this was prearranged with a nice back hander to the bod I suspect...feel like we have been shafted well and truly
So does this mean share holders will get something back now?
Where was the promise to consult shareholders or even try a shareholder fumdrasie prior to announcing administration—- would like business ombudsman ( if there’s such a thing) to investigate here!
Yep, but we are where we are...
Without the staff eve will be profitable. We could see it on here and so could Bensons. Just surprised that they were the only offer in under one working day. They all had this sorted last week. The 50% sale was to get a bit more cash for creditors, then sell zero stuff the day the sale ended while the sale stuff was shipped out.
They wouldn't have sold to Bensons without asking the others and the others saying no, not at the Bensons' price