Boomtown er gået konkurs

Boomtown er gået konkurs

Boomtown har idag meldt at de er gået konkurs og det er fra og med dags dato.

 

Pressemeddelsen fra Boomtown

COPENHAGEN, DENMARK, 18 MAY 2010: Boomtown ApS (the “Company”) today announced that it has filed a voluntary petition for bankruptcy under the Danish Bankruptcy Act Section 17 with the Danish Maritime and Commercial Court. Although the Company is continuing its discussions with various parties regarding strategic alternatives, which may include a potential sale of the Company, the Company determined that, based on the Company’s current financial condition due to an inadequate settlement from former owner, TDC, it was in the best interest of the Company, as well as its employees and customers, to file for bankruptcy under the Danish Bankruptcy rules. 

The Company made this decision with the unanimous authorization of its Board of Directors after thorough consultation with its advisors and extensive consideration of all other alternatives. The decision followed as a result of being forced to close after facing an enormous difference in housing costs, which left no hope for profitability in the immediate coming years. It is the Company’s perception that TDC had misled the Company with incorrect information regarding housing costs in the transfer of the Company from TDC to AA-Technologies (Holding Company of Boomtown ApS) in 2008. After prolonged negotiation with TDC, the final settlement from TDC to compensate the Company came short from what could make the Company survive, as stated in the settlement proposal sent to TDC. 

Additionally, during negotiations between the Company and TDC, TDC terminated all three leaseholds held by the Company, opening grounds for higher lease terms for the Company, which would have created more financial stress on the business. 

Until the bankruptcy petition has been processed by the Maritime and Commercial Court and a bankruptcy notice has been delivered, the Company expects to continue managing its properties and operate its business in the Company’s best interest. Ashraf Iskander, Boomtown’s CEO, commented with respect to the Company’s filing, “It’s unfortunate that a series of events resulted in the Company submitting a petition for bankruptcy in accordance with the Danish Bankruptcy Act. The Company will continue to explore strategic alternatives with the assistance of its financial advisors.” 

The Company has retained ACTIO Law as lead legal counsel and Deloitte as financial advisors to continue to assist the Company during this process.
 

Contact: Suzan Said 
Phone: +2020.3303.8530


Link: boomtown.dk

Skrevet af Blackbrizz den 19. May 2010. Nyheden er læst 4268 gang(e).

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