Pittards Share Discussion Threads

[clocktower] 11/4/2023 11:07

Problem is that nobody is going to offer any form of credit to Pittards even if this funding is approved. So what then?

[dorset64] 11/4/2023 10:56

Word in the town is that the employees find out today/tomorrow whether it remains a going concern or not.

A friend of mine company placed an advert for a delivery driver in/around Yeovil last week and received over 150 applicants within 24hrs. I feel the staff are already guessing at the outcome of this weeks meetings and are looking elsewhere for work.

Will be sad if the worse happens for the employee's and the town.

[clocktower] 11/4/2023 09:15

Well only a couple of hours away from the meeting that should decide the near future of the company.

Lets hope someone can post on the thread about what has been stated at the meeting.

We shall however get a RNS once it is all over one way or another.

[clocktower] 05/4/2023 15:50

The current price without support really does make it look as through it could be administration before the General Meeting on the 11 April 2023, and bear in mind the placing will not go ahead that was announced if the Resolutions are not passed.

Seeing that the shares were to be placed at 25p and the shares are almost half of that, will the directors still want to loan £85k and the big shareholders put up more money.

Very sad as you say baner.

[baner] 05/4/2023 15:28

it is very close now.........really sad.

[gilou9] 04/4/2023 21:14

Dorset thanks for your reply. I had forgotten about the sewage works and I wouldn’t be at all surprised that it stinks. Probably not has enough investment to expand to deal with huge growth in housing over the years. I’ll accept your knowledge then that it was built on old tip but it does surprise me I wasn’t aware.
So I think your original comment about not being suitable for housing development is valid.

[clocktower] 04/4/2023 16:18

I think that depends on the revaluation of the properties and the rest of the equipment and stock (which I think can only be valued at 10p in the £).

I know everyone thinks 10p is very low but having been involved in liquidations in the past I know how little one gets in a fire sale situation, even for good stock, as liquidators just want to clear the stock.

However, in view of the way stock has built up over many years, I doubt it can be considered good stock - skins go off if just left stacked.

They cannot have even half of that £11 million plus stock in a finished state imo.

Think of all the transport costs getting it moved even.

[baner] 04/4/2023 15:34

clocktower

you are probably right re the banks. which is a pity as i doubt any sound investor will put money into this without a haircut on the loans. that will leave them with a prepack as the best option. in which case the banks will face a haircut !!!

[clocktower] 04/4/2023 10:51

banner - I doubt the banks would accept such a loss as the loans are secured on the whole property plus stock etc I expect, and why should they.

The owners must take responsibility for not changing the Chairman and a few others, and just issue a lot more shares at a big discount, pay off all debts and put people in place that are not there to feather their own nests but to rebuild a great business and give employment to loyal skilled staff.

[baner] 04/4/2023 08:54

clocktower

i believe you are absolutely right - there is no good reason why Pittards should not be able to trade profitably. it is the strongest brand in the leather world, with tremendous craftsmanship skills that should be retained. however, they need sharper top management and directors, while they clearly need to get rid of excess stock as well as ditto debt. if the banks take a serious haircut - say £3-5m - and investors (preferrably a new anchor shareholder with some relevant skills) put in a further £3m, this will turn Pittards into a sounder entity, capable of taking a tougher stance towards customers who currently squeeze their margins, as they know Pittards are desperate for cash.

[dorset64] 04/4/2023 08:38

Golou, I'm stating that from memory as a kid being told that. Also asked a worker there who also said the same. The other point is also its right next to a sewage treatment works which, belive me, still stinks to high heaven even today. Housing would be the obvious choice should they go but I know not what the council would grant nor for sure the ground conditions but will look online to see if there's anything.

[clocktower] 03/4/2023 20:22

Pittards is profitable if it did not have the old debt handing around its neck, and if current shareholders can face up to the situation and put up substantial funds there is no need to talk about other uses for the site, as it is a very important part in of people’s lives.

Shareholders have just got to accept dilution and put it on its feet again.

[gilou9] 03/4/2023 19:04

All depends on what the council want. If the demand for land for housing is greater than commercial, light industrial then the council’s planning department’s will recommend what they think the land should be used for. Councillors will make the decision.

I think it will end up being used for housing development.

Plenty of room for more light industrial and business around the airfield. All in my opinion of course, councillors and developers will decide.

[bookbroker] 03/4/2023 16:19

Not really located for residential development, more like warehousing or a large retail box store. There is a small retail park within two hundred metres.

[bookbroker] 03/4/2023 16:18

The site is opposite Mole Valley Farmers, railway runs past the end of the factory, over the line is Pen Mill Station. Very much FOBT there was ever a tip there, the factory has been there for at least forty years.

[gilou9] 03/4/2023 15:05

If I’m correct that the site is not an old refuse tip then how many million pounds is it worth.

[gilou9] 03/4/2023 14:58

Dorset64, can you support with evidence that factory site is on an old refuse tip ?

I’ve never heard that before and I’ve seen no evidence to support that. Regardless of which side of town it’s on it’s ideally positioned for residential development. Direct access to the A30 and quickly into beautiful countryside towards Sherborne and further towards Dorset.

With the right development it would be highly desirable.

[clocktower] 03/4/2023 14:23

If that is the case Dorset64 - there could be huge costs making the site safe if it were disturbed, so bar a bit of maintence work on the roofs to maintain it, there will be little one can do with the site I expect.

Recycle leather:

[dorset64] 03/4/2023 13:00

I believe the factory/property is built upon an old refuse tip and therefore has no value for residential properties and only commercial. To sell that size of unit, that side of town will only knock the price down instead of up imo.

[clocktower] 03/4/2023 11:56

Problem is, if liquidators are called in, they asset strip it and milk the proceeds at over £400 an hour in most cases I have seen.

On the other hand if they can arrange a pre-pack while share holders get shafted, the employees at least have jobs, and in this case it is something I am in favour of.

[baner] 31/3/2023 13:31

very difficult to say but i guess the property will be sold separately and plant and stock will go cheaply. no doubt the management will be in a good position to put a deal together - supported by some form of investor/financier.

[clocktower] 31/3/2023 10:07

While the shareholders are likely to get zero based on your view baner - what price do you think a pre-pack would be.

Will Black and the other major shareholder be involved to save his skin but still leaving those that got it into this mess in place?

[baner] 31/3/2023 09:10

This is indeed a sad story and as Clocktower says, there is very skilled staff in Yeovil - ”world Class”. My guess is there will be a pre-pack and the yeovil site will find new owners, while ethiopia will be sold locally. It is highly unlikely there will be anything left for shareholders, unless they have managed to sell the ethiopian assets at a good price, while getting a haircut from the banks. But that is most likely to hope for too much.

[clocktower] 31/3/2023 08:42

So the last sale was at 15p which is the price I think they should raise at but will they be able to in the current climate even though this would eliminate debts and turn it into a successful business once again with the right team in place.

Very sad for all the people in Yeovil, some of whom are very skilled having worked in the factory for years and their family before them, let alone all the staff in Ethiopia.

[baner] 30/3/2023 16:08

nope - highly unlikely there will be anything left. nada.