Wileyfox Europe Ltd has hit major funding issues with its Russian parent company
Administrators at corporate recovery and business advisory firm Quantuma have been appointed at Wileyfox Europe Ltd, the UK mobile phone manufacturer, which has hit major funding issues with its Russian parent company.
Partners Andrew Andronikou and Andrew Hosking were appointed administrators on Monday 5 February after the parent company’s Russian bank was put under a special resolution that restricted its ability to lend.
WileyFox Europe Ltd was established in 2011 as a British mobile phone manufacturer and retailer.
Andrew Andronikou explained: “WileyFox’s holding company was primarily funded by Russian bank Promsyyazban (PSV) which was bailed out by the Central Bank of Russia in December and put into special measures that restricted lending outside of the country.
“Wileyfox has therefore lost access to working capital which has been temporarily suspended, but resolution could be some way off,” he said.
As a result, he said, the company’s sole director decided to place WileyFox into administration in order to safeguard the distribution network of its handsets in Europe, whilst its working capital issues are being resolved in Russia.
Some 20 staff have been made redundant, with a core staff of six retained by the administrators while they assess the viability of the business as a going concern.
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For further information, please contact:
Andy Skinner, Managing Director, ASAP PR – 07990 978257
Marie Wadeson, Director of Marketing,
Quantuma LLP, High Holborn House, 52-54 High Holborn, London WC1V 6RL
Tel: 07464 545678
Notes to Editors
Quantuma LLP is a leading corporate recovery and business advisory practice delivering partner-led solutions to businesses and individuals facing financial distress with offices in London, Southampton, Marlow, Watford, Brighton, Bristol, Manchester and Birmingham.