Earlier this February 2025, the sale of the sofa manufacturing company Belfield Group was completed for £9.3 million. Investor Blandford Capital agreed to purchase the business, with £8.3 million used to acquire the debtor book and settle outstanding debts to Virgin Money. The remaining £1 million was allocated for the assets of the Belfield companies, which operate from facilities in North Wales, Preston, Nelson, and Ilkeston.
Photo: Belfield Group.
Westbridge and Tetrad the company that was acquired also had many debts, that is now to be restructured. Virgin Money, which was owed £6.5 million in overdraft and term loan funding, has agreed to provide new debt facilities to the restructured company. PwC, the administrators, have proposed surrendering leases on facilities, including a Westbridge plant in Deeside.
Blandford Capital also holds the option to acquire Westbridge's Romania-based facility for £1. The restructuring follows difficulties caused by Marks & Spencer's exit from the bulky goods furniture market, which accounted for around a fifth of Belfield Group's £84 million turnover in 2023. The group's EBITDA deficit grew from £448,000 in 2023 to £3.7 million in 2024.
As part of the deal, former owner NorthEdge will not receive a return, and HM Revenue & Customs will not recover its £4.7 million debt. Unsecured creditors are also expected to miss out, though many suppliers had trade credit insurance in place.
Source: www.thefurnishingreport.com