Company News Announcements
Company News Announcements
POWERLEAGUE press release
Creditors approve CVA for Five-a-side football provider Powerleague
London, Tuesday 16 October 2018: Powerleague Fives Limited’s company voluntary agreement (CVA) has today been approved by its creditors and its shareholder.
All creditors of the company were invited to a meeting where they voted on whether the proposal for a CVA issued by the company should be approved.
The business will now look to implement its long-term business plan with new capital investment being provided through Patron Capital and its affiliates. The process is being led by CEO Christian Rose, CFO Mike Evans, and the existing management team.
The company is a leading provider of 5-a-side football facilities with over 440 pitches across 49 sites in the UK, Ireland and the Netherlands. It directly employs over 580 people at its sites and head office, and has contracts with a number of sports coaches and referees across all locations.
The CVA has been designed to rationalise the company's leasehold obligations and facilitate the refinancing and restructuring of the business, without which Powerleague would not have had a viable future.
The company proposed a CVA as a last resort following three years of declining like-for-like revenues, and failed attempts to turn around the business through alternative means.
Following a comprehensive review of the business, the directors identified 13 sites for closure. It is anticipated that the 13 sites scheduled for closure will remain open until at least the end of January 2019.
Any employees who will be affected by these closures have been informed of the proposed changes. Powerleague is committed to supporting these individuals throughout the process during the months ahead.
Christian Rose and Mike Evans joined Powerleague in September 2018 from All Star Lanes, where they led a successful restructuring programme. Christian Rose has also worked on turnarounds for G&J Greenall and Chicago Rock Café.
Powerleague CEO Christian Rose, said: “Today’s positive news means we are one step closer to restructuring Powerleague with the necessary investment. It is clearly a very difficult time for those whose jobs are affected and we will continue to offer them our support.
“These significant changes are essential to a sustainable future for Powerleague. The CVA is our last chance to rescue the company, and I am absolutely committed to our long-term turnaround plan.”
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Notes to editors:
Daniel Francis Butters and Robert James Harding, both of Deloitte LLP are the joint supervisors of the CVA.
For more information please contact:
Louise Male / Guy Smith / Deborah Saw / Dafydd Rees at
Newgate Communications on +44 (0)20 3757 6868 or PowerLeague@newgatecomms.com