RE: NO Cash!!!!!!7 Nov 2022 07:57
The trading underperformance mentioned above has resulted in the Company's working capital position being below expectations. Net debt at the end of October was £25.7m with headroom of £11.4m. However, this headroom is reduced by £5.6m of 'trapped cash' (i.e. cash held in transit by payment providers etc) and would also be reduced by repayment of the £5m short-term RCF ("STRCF"), due for repayment on 30 November 2022. The Company is currently in discussions with Tom Joule and its lender in regard to a bridge financing proposal in order to enable continued progress to be made with the re-financing plans referred to above.
**However, there can be no certainty that any bridge financing proposal will be agreed, nor as to its terms, in which case the Company expects it would be unable to repay the STRCF on its due date forrepayment.**
**The last few lines I've highlighted are key here and they tried to bury them at end and make it sound like its not so serious... when clearly by the end of November the situation could be extremely serious.