Company Update

 

TIDMWREN 
 
RNS Number : 5395X 
Wren Extra Care Group PLC 
07 December 2010 
 
                            WREN EXTRA CARE GROUP PLC 
 
                            ("Wren" or the "Group") 
 
                                 Company update 
 
Wren the property development group and specialist retirement home developer of 
Extra Care facilities announces the following update. 
 
As announced on 5th October 2010 LPA receivers were appointed to Wren Estates 
Ltd, a subsidiary company within the group. Also as previously announced on 6th 
October 2010 LPA receivers were appointed to Warlingham Developments Ltd ("WD") 
and Warlingham Developments Two Ltd ("WD2"), which are not group companies but 
companies with which Wren Estates Ltd has profit share arrangements. In both 
instances the Group has fully co-operated with the LPA receivers GVA Grimley 
Ltd. The Group has not as yet been notified of the intentions of either of the 
LPA receivers or of sums due to its main lender (the "Lender"). 
 
As a separate matter, certain irregularities have come to light including cash 
withdrawals using the Company credit card and charging of personal expenditure 
to the Company. These matters are being investigated and legal action may be 
initiated if appropriate. 
 
In addition, it has come to light that part of the development site assembled by 
WD2 has been acquired in the name of a partner of a former director, Paul 
Treadaway, using funds provided by WD. This is contrary to the Board's previous 
understanding that WD2 the owner of all elements of the development site. 
 
WD2 was funded by both the Lender and by Wren Estates Ltd for the purposes of 
acquiring and developing the site. The fact that this piece of land is currently 
not registered in the name of the Company may create problems for both the 
Lender and for Wren Estates Ltd, both of whom are looking to the sale of the 
development site to fund the payment of monies owing by WD2. 
 
The Directors have provided this information to the Lender and will be seeking 
to ensure that any damage to Wren is minimised as far as possible. 
 
Wren Extra Care Group Plc, 
James Butterfield Corporate Development Director, [phone] 
Michael O'Donnell Financial Director, [phone] 
www.wrenhomesplc.co.uk 
 
Shore Capital, Tel. [phone] 
Pascal Keane 
 
Peckwater PR, Tel.[phone] 
Tarquin Edwards 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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