Search

In-fighting at Patisserie Valerie over emergency fundraising plan

PUBLISHED: 11:10 06 November 2018 | UPDATED: 11:47 06 November 2018

Patisserie Valerie in Norwich's city centre, Picture: Archant

Patisserie Valerie in Norwich's city centre, Picture: Archant

Archant

Patisserie Valerie hit the headlines last month when it found a ‘black hole’ in its finances which threatened to topple the business.

Now the chairman of the chain, which has an outlet in Norwich, has had to face down criticism from shareholders to gain backing for a rescue plan.

Luke Johnson began a plan of emergency fundraising, which was enacted when the firm was just “three hours” away from going bankrupt.

Shareholders took aim at the emergency fundraising procedure, which they said would dilute their current stakes in the company.

One investor accused the company’s management of “holding a gun to our heads”.

More than 99% of investors backed the rescue plan after an emergency general meeting (EGM) for Patisserie Holdings this week, which is an AIM-listed parent of the cake chain.

Existing shareholders now hold diluted stakes in the company, with Mr Johnson’s own holding reduced from 37% to 27%.

Search hundreds of local jobs at Jobs24

Management Jobs

Show Job Lists

Newsletter Sign Up

Sign up to the following newsletters:

Sign up to receive our regular email newsletter

Our Privacy Policy

Insight

Empty shops and offices receive a complete exemption from business rates for three months after they become vacant. But, what happens after that? asks Simon Button, of Steeles Law.

Even the brightest and best trained people can benefit from upskilling in new and highly relevant disciplines.

Women in Business

cover

Enjoy the
Women in Business
digital edition

Read

Business East

cover

Enjoy the
Business East
digital edition

Read

Celebrating Success

cover

Enjoy the
Celebrating Success
digital edition

Read

B2B Exhibition

cover

Enjoy the
B2B Exhibition
digital edition

Read

Green 100

cover

Enjoy the Green 100
digital edition

Read

Meet the Team

Mark Shields

Business Editor

|

Chris Hill

Agricultural and Farming Editor

|

Business Most Read

Awards

Norfolk Future 50 EDP Business Awards Green 100